Continent-wide Tax Policy Calls for Revenue Mobilisation

Jun 3 , 2023

The African Tax Administration Forum (ATAF) partners with the African Union Commission citing a potential to fight illicit financial flows and help mobilize domestic resources efficiently. The two parties will engage in a series of meetings to update member states on the evolution of the UN's tax convention as part of a continent-wide effort to increase revenue mobilisation. Commissioner for Economic Development at the AUC Albert Muchanga signed a memorandum of understanding with Logan Wort, executive secretary of ATAF in the capital last week. Gathering input from tax experts within the continent on minimum top-up tax, cross-border VAT and e-commerce will be top priorities within the series of meetings. The average tax-to-GDP ratio of countries in the continent is around 15pc, with many working towards increasing it. Ethiopia's current administration aims for an 18pc tax to GDP ratio from six percent in the next five years. The Ministry of Revenues will implement a slew of taxes on property, services and digital transactions next year.



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