This study was conducted to assess problems faced by traders during using ETRs the Case of Addis Ababa City. The paper has identified problems related to the use of ETRs from the perspective of tax payers. The study has used both primary and secondary sources of data. Using random sampling method 363 tax payers were selected from the total population of 6794 with 85% return rate.
The major findings are:
- The use of ETRs improved timely filling of the monthly VAT returns.
- The major problems faced by the tax payers are unallowable expenses due to the problem of ETRs suppliers and the lack of consistency and transparency in imposing penalty for tax personnel.
- Maintenance cost and time, higher compliance costs are also fund to be among the major problem of the tax payers.