Social Media Technologies and Tax Administration

This information note summarises the findings of a survey conducted by the Forum on Tax Administration’s Taxpayer Services Sub-group to assess the extent to which tax administrations are making use of social media. The note also provides background information about the main social media technologies and their deployment in the private sector and by public sector agencies, including insights from early applications.

Social media technologies enable new forms of communication and interaction with the public. While experience to date is limited, it is clear from the findings of the survey that revenue bodies are starting to take advantage of the opportunities offered by social media for word-of-mouth marketing, targeted advertising and direct engagement with taxpayers and other stakeholders.

As with any new technology, there are challenges and risks to be taken into account. However, these appear manageable within the framework of properly considered and coordinated strategies, and given the relatively low costs and barriers to entry, there would seem to be a convincing business case for the deployment of social media technologies as a new communication tool with exciting possibilities.

The note will be of particular value for revenue bodies considering the relevance of these technologies or seeking practical inspiration for their application.