The impact of taxes on the performance of Small to Medium Enterprises in Harare Zimbabwe

Author

Takunda Misi S

Title

The impact of taxes on the performance of Small to Medium Enterprises in Harare Zimbabwe

Abstract

The main purpose of this project was assessing and determining the impacts of taxes on the performance of SMEs in Harare, Zimbabwe. Harare served as a focal point due to its business density. The key factor that motivated this research was the desire to understand the impacts of tax rates and tax policies on SMEs as they are the backbones of all economies.
The study employed a mixed-methods research design, and it employed a sequential explanatory approach, to reach its conclusions. A combination of random stratified sampling, purposive sampling and snowball sampling was adopted, in order to achieve the necessary rigor and validity of results. The study made use of a sample of 400 SMEs from Harare, from different sectors, sizes and trades. Data was collected using questionnaires, surveys, interviews and observations.
The data was analysed using descriptive analytics and the findings were presented using frequencies and percentage analysis. The findings indicate that the majority of SMEs owners believe that the current tax rates and tax policies are unfair on their performance and suggests their review, to make them fairer on SMEs. The findings would be helpful to stakeholders to achieve effective alignment of the tax systems of Zimbabwe.
The study recommend that further studies should be conducted on taxes and SME performance, to validate and improve the country’s tax system.

Date

October 2024

Publisher

BUSE

Keywords

taxes e of in Zimbabwe

performance

Medium Enterprises

Harare

Small

Supervisor

N/A