Global Daily Tax News, OECD Releases New 'International Tax And Africa' Report, (Oct 16, 2023)

The OECD has released a new report for G7 leaders on the work to support African states to expand their tax bases and to participate meaningfully in international tax reform talks.

The OECD said the report discusses Domestic Resource Mobilisation (DRM) efforts within African policy objectives and priorities, including the African Union's Agenda 2063, and identifies which actions should be taken to further increase DRM in Africa.

The report analyzes African involvement in discussions on corporate tax and how African participation in policy-setting and technical discussions could be further improved. In particular, it shows how African voices have shaped the design of the Two-Pillar Solution to Address the Tax Challenges Arising from the Digitalisation of the Economy, and discusses the framework's benefits for African countries and challenges for implementation.

In addition, the report provides an overview of OECD's initiatives to support capacity building on tax in Africa, many of which are undertaken in partnership with other international and regional organizations.

Finally, the report reflects on the broader tax policy agenda including VAT, tax transparency, tax and crime, digitalization of tax administrations, and tax and informality.

The report was prepared by the OECD in advance of the Africa Roundtable in Marrakech hosted by G7 Finance Ministers and Central Bank Governors on October 14, 2023.