This research report set out to establish the relationship between Tax Rates and economic
growth (measured by GDP) in Uganda (2000-2010). The objectives of the study were; to
establish the trend of Tax Rates in Uganda(2000-2010), to establish the trend of GDP growth rate
of Uganda(2000-20 10) ,to investigate the relationship between Tax Rates and GDP growth in
Uganda (2000-20 10).
The study employed time series analysis such Correlation analysis, regression analysis
mechanisms. The trend of Tax Rates had shown a general increase and GDP growth rate had
shown a cyclical fluctuation for the period under study. A sample size of ten years was
used(2000-2010), The data analysed was got from World bank and international monitory fund
(IMF) for the period 2000-2010.
Using the correlation, regression approach, there was a weak positive correlation between Tax
Rates and GDP growth(r0.3234), there was also no relationship between Tax Rates and GDP
growth at 0.05 level of significance.
In conclusion, there is no relationship between Tax Rates and growth rate in Uganda which
agreed with Wayne (1 992), Blanker et al (2005), who carried out.study on Tax Rates and GDP
growth rate and found no relationship .This implies that the tax play a small role in economic
growth of Uganda.
The researcher recommends the government to implement tax policies, which favors every one;
this can encourage people to invest since investment is the source of economic growth. On the
economic growth issues the researcher recommends the strengthening of existing policies in
connection to economic growth such as export promotion policies, import substitution policies,
market expansion and infrastructure. This will help to regulate on Economic growt
GLORIA, T (2021). Taxation And Economic Growth In Uganda. Afribary. Retrieved from https://afribary.com/works/taxation-and-economic-growth-in-uganda
GLORIA, TABU "Taxation And Economic Growth In Uganda" Afribary. Afribary, 12 Jun. 2021, https://afribary.com/works/taxation-and-economic-growth-in-uganda. Accessed 22 Jan. 2022.
GLORIA, TABU . "Taxation And Economic Growth In Uganda". Afribary, Afribary, 12 Jun. 2021. Web. 22 Jan. 2022. < https://afribary.com/works/taxation-and-economic-growth-in-uganda >.
GLORIA, TABU . "Taxation And Economic Growth In Uganda" Afribary (2021). Accessed January 22, 2022. https://afribary.com/works/taxation-and-economic-growth-in-uganda