Africa has achieved significant progress in curbing tax evasion and illicit financial flows according to Tax Transparency in Africa 2020, a joint publication of the Global Forum, the African Union Commission, and the African Tax Administration Forum.
The report, recently launched as part of the Africa Initiative, shows major progress achieved on the two cornerstones – raising political awareness and commitment, as well as developing capacities in tax transparency and exchange of information, both of which play a crucial role in helping the region stem illicit financial flows and increase domestic revenue mobilization.
African countries’ EOI network has been expanding rapidly. It reached 3,262 bilateral relationships in 2019, compared to 685 in 2013, mainly due to the growing number of countries joining the Convention on Mutual Administrative Assistance in Tax Matters. The number of exchange requests sent by African countries increased more than eightfold since the start of the Initiative in 2014.
These impressive developments directly translated into additional tax revenue, the report says, allowing a group of eight African countries to secure $189 million in extra revenue between 2014 and 2019.
Significant participation was also observed in the implementation of the automatic exchange of information – Ghana started exchanging in Click here to read entire article
Source:: Ventures Africa