Reforming the Tax System in Iraq and Developing the Iraqi Economy

Abstract

The researcher conducted his current research, which aimed to identify the tax policies in effect in the Iraqi state and their impact on economic development, as the descriptive approach is the approach used in this research due to its suitability to the goal of the research, as it will be aided by the sources and literature that addressed the variables of the current research and based on the statistics issued by the General Tax Authority and the Ministry of Finance and the Financial Control Department, a set of conclusions were drawn, including: The deteriorating conditions experienced by Iraq from the security and political situation greatly affected the tax reality and negatively. The percentage of tax revenues increases whenever the general situation is characterized by stability. Direct taxes constitute the largest percentage of tax revenue, while indirect tax revenue is considered low compared to direct taxes. Based on these conclusions, he recommended several recommendations, including:

1-Updating the tax system is a crucial step that must be taken to strengthen the Iraqi economy. Collection methods, follow-up, inventory, estimation and assessment systems must be developed, in addition to improving the technological methods on

which these processes depend.

2-New taxes that are compatible with economic activity in Iraq must be designed and implemented effectively to contribute to enhancing financial revenues and determining expenditures appropriately without affecting the economic balance.