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ATAF develops new framework document to advance data collection
Fri, 11 Aug 2017 10:05:53 GMT
Disclaimer: The following content is generated automatically by a GPT AI and may not be accurate. To verify the details, please watch the video
AI Generated Summary
- Framework document developed by ATAF aims to streamline tax administration processes and enhance resource mobilization across 15 countries.
- African Tax Outlook plays a vital role in benchmarking tax performance, ensuring transparency, and promoting tax compliance.
- Incentivizing SMEs is essential for a balanced tax system, requiring tailored policies and measures to support small and medium enterprises.
The African Tax Administration Forum (ATAF) has taken a significant step forward in advancing tax statistics and analysis in African tax administrations by developing a new framework document. This initiative has garnered support from 15 countries who have committed to enhancing data collection efforts. Dr. Naram Onkam, the Director of Research at ATAF, shed light on the project in a recent CNBC Africa interview. The framework document aims to streamline tax administration processes and improve resource mobilization across the continent. ATAF's primary goal is to provide indicators and analysis to assist tax administrations in identifying both growth opportunities and barriers to resource mobilization.
Dr. Onkam highlighted the importance of taxing high net worth individuals and increasing domestic resource mobilization. One of the key aspects of the framework document is to bring more individuals into the tax net and ensure that the elite are contributing their fair share. By providing valuable insights and data, ATAF is empowering tax administrations to make informed decisions regarding tax policy and compliance measures.
The conversation shifted to the role of the African Tax Outlook (ATO) in ensuring transparency and accuracy in tax collection. Dr. Onkam emphasized that ATO's second edition, which covers tax information from 26 African countries, plays a crucial role in benchmarking each country's tax performance against regional standards. Through initiatives like the ATO, countries like Rwanda have been able to surpass revenue collection targets, showcasing effective tax policies and administration practices.
Dr. Onkam discussed the parameters for gauging a country's success in tax collection, which include compliance culture, administrative efficiency, and the perceived value of tax contributions. Countries that prioritize domestic resource mobilization and instill a strong compliance culture tend to excel in tax collection. By enforcing compliance measures and providing quality services to taxpayers, nations can foster a culture of tax compliance and maximize revenue.
The conversation also touched upon the importance of incentivizing small and medium enterprises (SMEs) in addition to large corporations. Dr. Onkam stressed the need for tax policies that cater to both macro-level players and SMEs. While large taxpayers often receive incentives, it is crucial to ensure that SMEs are also supported and encouraged to contribute to the tax net. Measures such as mobile payment options, compliance automation, and tailored services can help SMEs participate more actively in the tax system.
In conclusion, Dr. Onkam highlighted the upcoming African Tax Outlook event in Uganda, where tax policymakers and administrators will convene to address challenges and bridge gaps in tax conversation. The event, scheduled for August 15-16 in Kampala, will serve as a platform for high-level dialogue and the launch of the second edition of the African Tax Outlook publication. This event marks a significant milestone in promoting collaboration and knowledge-sharing among African tax authorities.
The African Tax Administration Forum's efforts to enhance data collection and promote effective tax policies are crucial steps towards building a robust tax ecosystem in Africa. By leveraging data-driven insights and fostering a culture of compliance, African countries can strengthen their revenue collection mechanisms and drive sustainable economic growth.
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