Fiscal deficit and value-added tax collection in Ecuador: Trends and tax effectiveness

Espinosa-Jaramillo M.T.; Ramírez Lafuente C.A.; de los Ángeles Cárdenas-Pérez A.; Chenet Zuta M.E. · Revista de Ciencias Sociales (2025) · DOI: 10.31876/rcs.v31i4.44853

Resumen

The value-added tax (VAT) plays a central role as the main source of tax revenue, representing approximately 40% of total tax revenue in Ecuador. The objective of this research was to analyze the fiscal deficit and VAT collection in Ecuador, considering trends and tax effectiveness. Despite its importance, VAT faces significant challenges such as persistent tax evasion and tax exemptions, which reduce potential state revenue. The methodology was descriptive and documentary, incorporating various comparative studies with international experiences, such as those of Chile and Brazil, which suggest simplifying the tax system and improving tax administration to increase revenue collection. The results show that the tax administration is investing in technology and training to improve oversight and ensure a solid tax base that supports long-term economic and social development. VAT collection shows an upward trend and improved tax effectiveness in recent years, exceeding established targets and reflecting the impact of investments in tax enforcement. It is concluded that tax exemptions are effective in implementing strategies against tax evasion, and that by adopting international experiences, the optimization of the tax system in Ecuador is systematized. © Licencia de Creative Commons Atribución 4.0 Internacional (CC BY 4.0) https://creativecommons.org/licenses/by/4.0/deed.es

Instituciones: Universidad Nacional Tecnológica de Lima Sur