Tax and the tax system play an important and unmatched role in the countrys development. Tax as a means of guiding the economy can play a key role in development policies via its impact on economic activities of enterprises. Accordingly, by developing a proper tax system, the government can affect how to achieve the development goals.
At the moment, credits and tax revenues are mostly spent on construction and infrastructure development of the country. Therefore, the increasing improvement of the tax system has an undeniable role in the economic development of the country.
Planning for full collection of taxes and replacing tax revenues with oil revenues, which in most cases is unstable, are the most basic aspects of planning for economic and social development of the country. Given the important role of tax revenues in developing and fulfilling the objectives of the government;
economic reform, development of manufacturing and service activities, expansion of tax bases, elimination of unnecessary tax exemption and budget constraints, supply of human resources, and taking legal action have an important role in raising tax revenues and the country's development, which needs the will of the people.
In developing countries, tax is the most efficient tool for the transfer of funds to productive sectors and projects. This means that the government could attract additional revenues with tax enforcement and invest them in productive projects.
In developed countries, more than 90 percent of funds are supplied through tax; however, in less developed or developing countries, the government’s revenues are mostly provided through the sale of underground resources such as oil and gas. Therefore, to have a systematic economy, we must give extra importance to the role of taxes and tax revenues.