Much research effort has been devoted in developed countries to attempting to estimate the extent of shifting of the company income tax. Company income taxes also play an important role in developing countries, but in addition sales taxes have been introduced

The aim is to provide some insights into the short-run dynamics of tax shifting. Using Kenyan cross-section data on firms for 1974 and 1975, estimates are made of current and lagged shifting for both the company income and sales taxes. One of the findings is that the income tax is over-fully...