CHISENGA, Sungwe2025-08-262025https://research.unilus.ac.zm/handle/123456789/528Master of Business Administration in Finance - DissertationThis study looked at the relationship between mobile money services and tax collection among micro and small enterprises (MSEs) in the Lusaka Town Centre. Using a mixed methods approach, the research examined mobile money adoption patterns, tax registration status, and the influence of mobile money attributes—perceived ease of use, transaction cost, awareness, and usefulness—on tax collection. The study also identified challenges faced by MSEs and the Zambia Revenue Authority (ZRA) in fostering tax compliance. In addition, the study explores challenges hindering MSEs' compliance from the perspective of both business owners and the Zambia Revenue Authority (ZRA). A descriptive research design was employed, incorporating both quantitative and qualitative methods. Data was collected from 263 respondents, yielding a 66.2% response rate. Quantitative data were analyzed using IBM SPSS Statistics version 27. Descriptive statistics, including frequency distributions, percentages, and measures of central tendency (mean and median), were calculated to summarize key variables. Multiple regression analysis was then used to examine the relationship between mobile money attributes and tax compliance. Regression analysis was used to assess the relationship between mobile money attributes and tax collection, revealing that these attributes explain 44.3% of the variability in compliance levels. The findings indicate that while mobile money platforms, primarily Airtel and MTN, are widely used, systemic barriers such as high transaction costs, limited awareness of tax obligations, and financial constraints hinder full tax compliance. Nvivo Tool was employed to analyse insights from ZRA highlight the need for simplified tax procedures, financial relief programs, and enhanced public awareness initiatives. The study concludes that mobile money has the potential to enhance tax collection compliance, but its effectiveness depends on complementary structural reforms. Recommendations include collaboration between policymakers, ZRA, and mobile money service providers to streamline tax processes, lower transaction costs, and improve tax literacy among MSEs. Future research should explore the role of mobile money in tax compliance within rural areas and sector-specific business environments.enThesis