Fintech and tax revenues: does political institution matter?

Olusegun Vincent and Olaniyi Evans

Asia-Pacific Journal of Accounting & Economics, 2025, vol. 32, issue 2, 358-376

Abstract: The study investigates the effect of fintech on tax revenues while empirically measuring the moderating effects of political institutions. Using the iterated GMM estimator, the study utilises a sample of 24 low and middle-income countries and a dataset spanning 2013 to 2021. The findings indicate that the advancement of fintech considerably benefits tax revenues, meaning that fintech, in the form of technology integration into taxation, can be a valuable tool for efficient tax collection and administration. The research also shows that political institutions positively affect tax revenues, implying that sound political institutions are indispensable for increased tax revenues. Most interestingly, the empirical findings provide evidence of the positive moderating effects of political institutions on the nexus between fintech and tax revenues, which suggests that the improvement in political institutions fosters the significant positive effect of fintech on tax revenues in these countries. The governments and policymakers of these countries can boost tax revenues through, on one hand, fintech development and, on the other hand, solid political institutions that support fintech development.

Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1080/16081625.2024.2356106 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:raaexx:v:32:y:2025:i:2:p:358-376

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/raae20

DOI: 10.1080/16081625.2024.2356106

Access Statistics for this article

Asia-Pacific Journal of Accounting & Economics is currently edited by Yin-Wong Cheung, Hong Hwang, Jeong-Bon Kim, Shu-Hsing Li and Suresh Radhakrishnan

More articles in Asia-Pacific Journal of Accounting & Economics from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().