Most people would rather not talk about taxes. That said, it is hard to think of many topics with such wide-ranging impacts on everyday life. From roads and health systems to schools and sanitation, everything depends on the government’s ability to collect revenue in a fair and efficient manner. To do this, governments must develop clear information about citizen responsibilities, easy ways to file, and measures to ensure individuals and companies are not skirting the rules. For years, USAID has been helping Kosovo accomplish exactly this by collaborating with the Tax Administration of Kosovo (TAK) to boost collection capabilities and modernize administrative processes.
With support from USAID to develop and implement new policies, revenues collected by TAK rose from €457 million in 2018 to an impressive €852 million in 2023. This nearly 90 percent increase in revenue has unlocked funds for projects and services citizens have desperately needed.
Central to this accomplishment has been the introduction of new policies moving tax administration into the 21st century. In particular, USAID has helped roll out the use of digital tools like interactive tax guides, tax calculators, tax evasion and monitoring systems, and open source data initiatives to bolster transparency and analysis.
For many citizens, taxpayer education sessions, targeted tax filing seminars, and other outreach efforts have been the face of this modern approach. These USAID-supported efforts have contributed to a dramatic rise in online tax filings from 2.1 million in 2018 to 3 million in 2022.
As tax administration evolves, USAID will continue working with TAK to meet new challenges and deliver results for all Kosovans.
Elmedina Arapi for USAIDKosovo