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.
Key Resources
Informality and Tax Library
Unpacking Formalisation: The need for a new research agenda on taxation and the informal economy
ICTD Informality and Taxation blog series The ICTD’s Informality and Tax programme seeks to conduct, connect, and support novel research…
To fight Covid-19, only the formal economy is getting tax breaks. The informal economy may be asked to foot the bill
As the world grapples with the consequences of the COVID-19 pandemic, vulnerable workers in the informal sector in the global…
Fill the gaps, feel the pain: Insights from Sierra Leone on an epidemic’s impact on local taxation, public services, and the poor
With over 16,000 deaths globally and the number of cases growing each day, the calamitous impacts of the novel coronavirus…
In person
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Timezone: Europe/Helsinki
Virtual
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Timezone: Europe/London
We are thrilled to officially launch the ‘Routledge Handbook of Smuggling’ with an introduction by its editors, some of its authors, and a discussion of key issues in the contemporary study of smuggling. Confirmed speakers: Max Gallien, Research Fellow, Institute
Virtual
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Timezone: Europe/London
This upcoming webinar, Informal taxation and community-driven development: Evidence from south-central Somalia, is part of a series of 5 seminars on Tax and Development jointly organised by the Chr. Michelsen Institute and the TaxCapDev-network. The webinar series features ongoing research
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COVID-19 has had a huge impact on the health and economies of countries all over the world. Some of the hardest hit have been low-income informal sector workers. This event will discuss the impacts the global pandemic has had so
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