Tax Administration

Abstract*

The development objective of the Tax Administration Reform Project for Tajikistan is to reform the tax administration to become more efficient and effective in collecting revenue, enhance the level of voluntary compliance, and improve the quality of taxpayer services. The project has four components which build on what has been achieved so far and support each other to deliver a coherent reform program. The first component of the project is institutional... Show More

Development Objective

The Project Development Objective (PDO) is to reform the tax administration to become more efficient and effective in collecting revenue, enhance the level of voluntary compliance, and improve the quality of taxpayer services. Specifically, the project aims to: (i) reduce the administrative cost of collecting revenue to make the Tax Committee a more efficient institution; (ii) strengthen theeffectiveness of the Tax Committee to fight tax evasion and reduce the size of the shadow economy; (iii) reduce contact between taxofficials and taxpayers to reduce avenues for corruption and create conditions for increased level of voluntary compliance; and (iv) provide good quality taxpayer services that would help reduce the compliance burden for taxpayers, thus improving the business environment and competitiveness.

Key Details

Project Details

Project ID
P127807
Status
Closed
Team Leader
Hassan Aliev
Borrower 2
Ministry of Finance

Country
Tajikistan
Disclosure Date
April 18, 2012
Approval Date
(as of board presentation)
October 31, 2012
Effective Date
February 8, 2013

Total Project Cost 1
US$ 18.00 million
Implementing Agency
Ministry of Finance,Tax Committee
Region
Europe and Central Asia
Fiscal Year 3
2013

Commitment Amount
US$ 18.00 million
Environmental Category
C
Environmental and Social Risk
Not Applicable
Closing Date
December 31, 2019

Consultant Services required
No
Last Stage Reached
BANK APPROVED
Last Update Date
October 3, 2023

Notes
1. Total project cost includes funding from World Bank and non-bank sources in US$ millions. Active and Closed projects show current commitments. Proposed (pipeline) and dropped projects show the forecast amount. The commitment amount for projects in the pipeline is indicative and may be modified during the project preparation.
2. Borrower refers to the Borrower of a Loan or Recipient of a Grant.
3. ”Fiscal Year” is the fiscal year in which the project was approved (or dropped if the status is dropped). The World Bank's fiscal year is from July 1 - June 30. For example, a fiscal year of 1996 corresponds to July 1, 1995 - June 30, 1996.

Sectors

Themes

FY17 - Economic Policy

FY17 - Fiscal Policy27%
- FY17 - Tax policy27%

FY17 - Private Sector Development

FY17 - Jobs100%

FY17 - Public Sector Management

FY17 - Public Administration47%
- FY17 - Administrative and Civil Service Reform9%
- FY17 - E-Government, incl. e-services38%
FY17 - Public Finance Management27%
- FY17 - Domestic Revenue Administration27%

Project Map

Interactive Map

Finances

Financing Plan (US$ Millions)

Financier	Commitments
IDA Credit	18.00

Total Project Financing (US$ Millions)

Product Line	IBRD/IDA
IBRD Commitment	N/A
IDA Commitment	18.00
IBRD + IDA Commitment	18.00

Lending Instrument
Grant Amount	N/A
Total Project Cost**	18.00

Summary Status of World Bank Financing (US$ Millions) as of April 30, 2025

No data available.

Detailed Financial Activity as of April 30, 2025

Download:

Period	Financier	Transaction Type	Amount (US$)
Oct 31, 2012	IDA-H8100	Loan Commitment	18,000,000.00
Dec 6, 2016	IDA-H8100	Loan Disb	500,194.30
Nov 15, 2019	IDA-H8100	Loan Disb	154,444.84
Sep 26, 2019	IDA-H8100	Loan Disb	213,029.90
Nov 21, 2019	IDA-H8100	Loan Disb	341,264.38
Dec 17, 2019	IDA-H8100	Loan Disb	298,537.75
Dec 16, 2019	IDA-H8100	Loan Disb	491,896.40
Nov 3, 2020	IDA-H8100	Loan Cancel	236,907.58
Nov 29, 2018	IDA-H8100	Loan Disb	758,400.00
Dec 28, 2018	IDA-H8100	Loan Disb	787,872.90
Jul 2, 2019	IDA-H8100	Loan Disb	1,001,533.60
Apr 18, 2019	IDA-H8100	Loan Disb	845,443.10
Mar 28, 2019	IDA-H8100	Loan Disb	635,290.10
Jun 26, 2019	IDA-H8100	Loan Disb	427,849.72
Dec 2, 2019	IDA-H8100	Loan Disb	516,692.80
Aug 19, 2019	IDA-H8100	Loan Disb	509,678.88
May 8, 2017	IDA-H8100	Loan Disb	50,181.20
Jun 23, 2017	IDA-H8100	Loan Disb	166,467.90
Oct 5, 2017	IDA-H8100	Loan Disb	228,269.88
Nov 6, 2017	IDA-H8100	Loan Disb	131,057.88
Jan 19, 2018	IDA-H8100	Loan Disb	386,853.53
Jul 23, 2015	IDA-H8100	Loan Disb	624,725.40
Nov 19, 2015	IDA-H8100	Loan Disb	608,821.90
Oct 1, 2015	IDA-H8100	Loan Disb	70,211.01
Sep 21, 2015	IDA-H8100	Loan Disb	198,821.73
Dec 30, 2015	IDA-H8100	Loan Disb	788,351.00
Oct 23, 2015	IDA-H8100	Loan Disb	79,642.39
Oct 23, 2015	IDA-H8100	Loan Disb	532,924.00
Mar 1, 2016	IDA-H8100	Loan Disb	240,923.23
Dec 22, 2015	IDA-H8100	Loan Disb	39,271.81
May 3, 2016	IDA-H8100	Loan Disb	377,913.10
Apr 14, 2016	IDA-H8100	Loan Disb	44,599.52
Dec 29, 2016	IDA-H8100	Loan Disb	331,081.34
Nov 4, 2016	IDA-H8100	Loan Disb	700,396.30
Jun 28, 2016	IDA-H8100	Loan Disb	581,950.10
May 26, 2016	IDA-H8100	Loan Disb	481,115.60
May 20, 2016	IDA-H8100	Loan Disb	257,235.90
Oct 11, 2019	IDA-H8100	Loan Disb	675,675.20

Footnotes

Ratings

IMPLEMENTATION RATINGS

Name	Review	Date
Overall Implementation Progress (IP)	Satisfactory	2019-12-09
Financial Management	Moderately Satisfactory	2019-12-09
Progress towards achievement of PDO	Satisfactory	2019-12-09
Procurement	Satisfactory	2019-12-09
Project Management	Satisfactory	2019-12-09
Monitoring and Evaluation	Satisfactory	2019-12-09

COMPLETION RATINGS

INDICATOR	IMPLEMENTATION COMPLETION & RESULTS REPORT: 06-29-2020
Outcomes	Substantial
Risk to Development Outcome
Bank Performance	Substantial
Borrower Performance
Government Performance
Implementing Agency

INDEPENDENT EVALUATION RATINGS

INDICATOR	ICR REVIEW: 09-05-2020	PROJECT PERFORMANCE ASSESSMENT REPORT:
Outcome Rating	Satisfactory	N/a
Risk To Development Outcome		N/a
Bank Performance	Satisfactory	N/a
Borrower Performance		N/a
Government Performance	Not Rated	N/a
Implementing Agency		N/a
Icr Quality	Substantial	N/a
M&e Quality	Substantial	N/a

Results Framework

PROJECT DEVELOPMENT OBJECTIVE INDICATORS

INDICATOR		BASELINE	CURRENT	TARGET

Increase in Voluntary Compliance: the total number of active taxpayers Value 161000.00 326492.00 201500.00
Date January 1, 2013 December 31, 2019 December 31, 2019
Comment
Increased efficiency: average tax collected per tax inspector Value TJS 2.1 million TJS 6 million TJS 2.9 million
Date January 1, 2013 December 31, 2019 December 31, 2019
Comment
% of taxpayers legal entities filing electronically Value 0.00 98.90 70.00
Date January 1, 2013 December 31, 2019 December 31, 2019
Comment
Amount of tax arrears as a percentage of total annual tax collection (excluding Barqi Tojik) Value 13.80 5.20 10.00
Date January 1, 2013 December 31, 2019 December 31, 2019
Comment
Improved taxpayer service: average time to comply Value 296.00 224.00 236.00
Date January 1, 2013 December 31, 2019 December 31, 2019
Comment
Share of revenue collected by the Large Taxpayer Inspectorate (LTI) Value 43.60 50.60 60.00
Date January 1, 2013 December 31, 2019 December 31, 2019
Comment
Adjustment as a result of audit per auditor (Somoni millions) Value 184.00 516.10 280.00
Date January 1, 2013 December 31, 2019 December 31, 2019
Comment
Enhanced effectiveness: tax gap as measured by VAT productivity Value 0.37 0.41 0.42
Date January 1, 2013 December 31, 2019 December 31, 2019
Comment
Enhanced effectiveness: tax gap as measured by CIT productivity Value 0.03 0.06 0.06
Date January 1, 2013 December 31, 2019 December 31, 2019
Comment

INTERMEDIATE RESULTS INDICATORS

INDICATOR		BASELINE	CURRENT	TARGET

Component 2: Amount of tax arrears as a percentage of total annual tax collection (excluding Barqi Tojik) Value 13.80 5.20 10.00
Date January 1, 2013 December 31, 2019 December 31, 2019
Comment

Component 3: Implementation of Integrated Tax Management Information System (ITMIS)	Value	Existing tax system has limited capacity	ITMIS fully operational	ITMS deployed and fully operational
	Date	January 1, 2013	December 31, 2019	December 31, 2019
	Comment

Component 1: Training Strategy approved and implemented	Value	Training provided in ad hoc manner	Training Strategy is approved and implemented.	Training strategy and curriculum design developed
	Date	January 1, 2013	December 31, 2019	December 31, 2017
	Comment

Component 2: Share of revenue collected by Large Taxpayers Inspectorate Value 43.60 50.60 60.00
Date January 1, 2013 December 31, 2019 December 31, 2019
Comment

Component 1: Organizational review, work force review, organizational restructuring, staff redeployment	Value	Organizational plan for HQ submitted to government	New organizational structure of HQ was approved, w	Organizational review, workforce review, organizat
	Date	January 1, 2013	December 31, 2019	December 31, 2019
	Comment

Component 3: Percent of taxpayers legal entities filing electronically Value 0.00 98.90 70.00
Date January 1, 2013 December 31, 2019 December 31, 2019
Comment

Component 1: Implementation of Human Resourse Management Information System	Value	No HRMIS available	HRMIS fully operational	System fully operational
	Date	January 1, 2013	December 31, 2019	August 1, 2017
	Comment

Component 2: Development of Call Center Value Manual system available Call Center is operational Call center operational
Date January 1, 2013 December 31, 2019 December 31, 2019
Comment

Component 3: Data Center established	Value	Supports current legacy system.	The Data Center in Dushanbe and the Disaster Recov	Data center fully operational
	Date	January 1, 2013	December 31, 2019	December 31, 2016
	Comment

Component 1: Building training facilities	Value	Training Center not present	Training Centers in Khujand, Kulob, Khorog and Bok	Training center fully equipped
	Date	January 1, 2013	December 31, 2019	June 1, 2017
	Comment

Increase in Voluntary Compliance: the total number of active taxpayers	Value	161000.00	326492.00	201500.00
	Date	January 1, 2013	December 31, 2019	December 31, 2019
	Comment

Increased efficiency: average tax collected per tax inspector	Value	TJS 2.1 million	TJS 6 million	TJS 2.9 million
	Date	January 1, 2013	December 31, 2019	December 31, 2019
	Comment

% of taxpayers legal entities filing electronically	Value	0.00	98.90	70.00
	Date	January 1, 2013	December 31, 2019	December 31, 2019
	Comment

Amount of tax arrears as a percentage of total annual tax collection (excluding Barqi Tojik)	Value	13.80	5.20	10.00
	Date	January 1, 2013	December 31, 2019	December 31, 2019
	Comment

Improved taxpayer service: average time to comply	Value	296.00	224.00	236.00
	Date	January 1, 2013	December 31, 2019	December 31, 2019
	Comment

Share of revenue collected by the Large Taxpayer Inspectorate (LTI)	Value	43.60	50.60	60.00
	Date	January 1, 2013	December 31, 2019	December 31, 2019
	Comment

Adjustment as a result of audit per auditor (Somoni millions)	Value	184.00	516.10	280.00
	Date	January 1, 2013	December 31, 2019	December 31, 2019
	Comment

Enhanced effectiveness: tax gap as measured by VAT productivity	Value	0.37	0.41	0.42
	Date	January 1, 2013	December 31, 2019	December 31, 2019
	Comment

Enhanced effectiveness: tax gap as measured by CIT productivity	Value	0.03	0.06	0.06
	Date	January 1, 2013	December 31, 2019	December 31, 2019
	Comment

Component 2: Development of Call Center	Value	Manual system available	Call Center is operational	Call center operational
	Date	January 1, 2013	December 31, 2019	December 31, 2019
	Comment