Tax and Informality

Research Theme

Informality and Tax

While research has historically focused on formal systems of taxation and user fees, there is mounting evidence of the importance of “informal” taxation for average taxpayers in much of Africa. While lying outside of statutory laws, the “tax-like” payments – which include informal user fees, informal contributions to community development projects, and informal payments to both state and non-state officials – impose a significant burden on many taxpayers, while playing a critical role in financing local public goods and services and shaping broader local governance.

Our research aims to map the extent, composition and experiences of these payments, and to understand their implications for livelihoods, fiscal decentralisation, service delivery and broader local governance reform. One strand of our work looks closely at taxation in fragile settings, examining the challenges, risks, and opportunities it presents for peacebuilding, state-building, and citizen engagement.

We have also established a Community of Practice on Informality and Tax, a global network of practitioners and scholars committed to improving both knowledge and policy on how tax authorities engage with informal economies.

Tax and Informality

Led By

Informality and Tax Library

Research in Brief

Between God, the People, and the State: Citizen Conceptions of Zakat

August 2023
Max Gallien, Umair Javed, Vanessa van den Boogaard

Research in Brief

Rethinking Formalisation: A Conceptual Critique and Research Agenda

August 2023
Max Gallien, Vanessa van den Boogaard

Research in Brief

Catch Them If You Can: The Politics and Practice of a Taxpayer Registration Exercise

August 2023
Max Gallien, Giovanni Occhiali, Vanessa van den Boogaard

Working Paper

Does Competition from the Informal Sector Reduce Tax Compliance in the Formal Sector? Evidence from Ethiopia

July 2023
Seid Yimam Mohamed, Fissha Asmare Marye, Mick Moore

Policy Brief

Why Mass Tax Registration Campaigns Do Not Work

July 2023
Max Gallien, Giulia Mascagni, Mick Moore, Giovanni Occhiali, Wilson Prichard, Fabrizio Santoro, Celeste Scarpini, Vanessa van den Boogaard

Journal Article

A tax by any other name? Conceptions of taxation and implications for research

July 2023
Ane Karoline Bak, Vanessa van den Boogaard

Working Paper

Between God, the People, and the State: Citizen Conceptions of Zakat

June 2023
Max Gallien, Umair Javed, Vanessa van den Boogaard

Journal Article

An overlooked market: loose cigarettes, informal vendors and their implications for tobacco taxation

May 2023
Max Gallien, Giovanni Occhiali, Hana Ross

Policy Brief

Cannabis Taxation as a Revenue Source for Development: Opportunities and Challenges

April 2023
Max Gallien, Giovanni Occhiali

Journal Article

Formalization and its Discontents: Conceptual Fallacies and Ways Forward

April 2023
Max Gallien, Vanessa van den Boogaard

Working Paper

Catch Them If You Can: the Politics and Practice of a Taxpayer Registration Exercise

April 2023
Max Gallien, Giovanni Occhiali, Vanessa van den Boogaard

Working Paper

An Overlooked Market: Loose Cigarettes, Informal Vendors, and Their Implications for Tobacco Taxation

February 2023
Max Gallien, Giovanni Occhiali, Hana Ross

In person

3 December 2024 – 10:00

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Timezone: America/New_York

United Nations Headquarters, East 45th Street, New York, NY, USA
The ICTD will be hosting a side event at the Second Preparatory Committee Session of the Financing for Development Conference.

Virtual

12 September 2024 – 15:00

•

Timezone: Europe/London

This interactive panel will discuss the relationship between taxes and trust in the state, elections and public mobilisation, informality, and gendered social relations.

Virtual

30 May 2023 – 13:30

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Timezone: Europe/London

Date: 30th May 2023, 13:30 – 14:30 London time Duration: 60 minutes Language: English only There are three puzzling features of Sub-Saharan African tax systems. First, tax administrations maintain records on vast numbers of small enterprises that actually provide no

Virtual

4 April 2023 – 14:00

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Timezone: Europe/London

Watch the Webinar Recording In the wake of the pandemic, developing and middle-income countries are facing increasing pressures to improve domestic resource mobilisation. Since many of these countries have large informal economies, increasing the tax contributions of the informal sector

Current

Traditional Leaders, Taxation, and Statebuilding in Sierra Leone

Start date: 01/04/2024

Current

Informal Taxation and Gender in the Informal Economy in Accra

Start date: 30/09/2021

Current

The Logic of Armed Group Taxation

Start date: 15/10/2020

Completed

The Role of Fiscal Policies in Cannabis Legalisation: Learning from Malawi’s Experience

Start date: 01/06/2024

Completed

Aiding the War & Neglecting Citizens: International Donor Policy

Start date: 07/09/2022

Completed

Not-so-freeway- informal taxation and the everyday cost of conflict in Northeast India

Start date: 02/11/2022

Completed

Taxpayer engagement and government accountability in Kenya

Start date: 01/11/2022

Completed

Informal taxation and gender in the informal economy in Accra

Start date: 01/11/2022

Completed

Assessing the capability of market vendors in promoting good tax governance in local councils in Malawi

Start date: 01/11/2022

Completed

Taliban Taxation System in Afghanistan

Start date: 01/02/2021

Completed

What is the incidence of informal taxation on inequality in access to school?

Start date: 18/01/2021

Completed

Tax and Gender in the Democratic Republic of the Congo

Start date: 01/03/2021
Alex Kombat
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Research Affiliate
Eugénie Ribault
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Doctoral Fellow
Headshot of Ezera Madzivanyika
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Research Affiliate
Frederik Heitmüller
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Associate Postdoctoral Fellow
Hannelore Niesten
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Associate Postdoctoral Fellow
Jalia Kangave
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Associate Research Fellow
Michael Rogan
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Research Affiliate
Mick Moore
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Research Fellow & Publications Editor
Najibullah Nor Isak
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Research Affiliate
Nana Akua Anyidoho
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Research Affiliate
Nicolas Orgeira Pillai
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Doctoral Fellow
Headshot of Oyebola Okunogbe
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Research Affiliate
Rhiannon McCluskey
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Research Affiliate
Ronald Waiswa
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Research Affiliate
Samuel Jibao
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Research Affiliate
Seid Yimam Mohamed
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Doctoral Fellow
Tanya Bandula-Irwin
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Research Affiliate
Umair Javed
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Research Affiliate
Wilson Prichard
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Associate Research Fellow, ICTD and Chair, LoGRI

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