Taxation And Performance Of Small Scale Businesses In Custom Market, Juba,Southernsudan

ABSTRACT

This study examined the effects of Taxation on the performance of small scale businesses in the

custom market in Juba, Southern Sudan. It was correlational descriptive and analytical based on

primary and secondary data. Face to face Interviews and questionnaires and observation were

utilized in gathering data fro a sample of 70 vendors selected using purposive and convenient

sampling techniques.

Findings of the study were, most tax collectors were harsh when collecting taxes thus fluctuation

sales, tax assessment was unfair and took much time, majority of taxpayers were compliant

enough during tax payment, most SSBs were not given tax exemptions and generally SSBs had

never accessed tax exemptions. Most SSBs profits had not increased due to unfair taxation, had

low capital and saved little. Most SSBs never complied with tax payment due to bribery and

conuption behavior of the tax collectors, Tax payment policies were generally unfair and never

favoured capital accumulation and business expansion. Most tax payer rights were not observed,

most small scale businesses were not given tax exemptions, generally there wasn't simplification

and there was less sensitization and educating of proptietors in SSBs about taxation ..

The study concludes that, unfair assessment of tax, poor collection system, conuption and

bribery behavior of tax collectors led to high taxation of SSBs in the custom market of Juba thus

poor businesses activity.

The researcher therefore recommends that; harsh, conupt and other poor perf01ming tax

collectors should be penalized, tax assessment should be fair and take less time to all businesses

through proper studying of business perfonnance before tax assessment. Tax payers should be

compliant enough during tax assessment, collection and payment so that they are not cheated or

cheat the market administrators. SSBs should be given tax exemptions so that their capital

accumulates. Tax payer rights should be observed when collecting tax because they would be

more compliant with tax payment. There should be simplification of the tax stmctures in the

custom market so that people become compliant enough with tax payment and there should be

sensitization and educating of proptietors in SSBs about taxation policies so that people know the reason why they pay tax.