Impact of Electronic Cash Registers on Tax Collection

This paper explores the impact of Electronic Cash Registers (ECRs) on tax collection and aims to provide an overview of the implementation of Electronic Fiscal Devices (EFDs) in Romania, describing the legal framework, the challenges faced during implementation, and the benefits and drawbacks of this system. Benefitting from a thorough literature review and analysis of empirical studies, we present findings on the effectiveness of ECRs as a tool for tax control and revenue enhancement, as well as the factors influencing their adoption and success. Our results suggest that ECRs have a positive impact on tax compliance and revenue collection in many countries, although their effectiveness may depend on factors such as government support, technology infrastructure, and local tax culture. We also identify areas for further research on the use of ECRs, including the potential for blockchain-based ECRs and the role of artificial intelligence in tax collection. Overall, this article contributes to the ongoing discussion of how technology can be used to improve tax collection and reduce tax evasion worldwide.