Private tax collectors

Private tax collectors are third-party companies or individuals hired by governments to help collect taxes from taxpayers. Instead of government employees doing the work directly, these private entities manage the process of gathering owed taxes, ensuring compliance, and sometimes pursuing unpaid amounts. They operate under formal agreements and regulations, with the goal of improving efficiency and collection rates. While they perform similar functions as government tax agencies, their involvement is outsourced, allowing governments to focus on policy and enforcement while leveraging private sector expertise.