ATAF’s Engagements Across Africa Yield Billions In Taxes

By Danicius Kaihenneh Sengbeh

Since 2016, the African Tax Administration Forum (ATAF) has provided technical assistance that has enabled revenue authorities on the continent to assess taxes amounting to US$4.75 billion and collect US$1.92 billion of these assessed taxes, according to its 2023 Annual Report.

Read more: ATAF’s Engagements Across Africa Yield Billions In Taxes

Released on May 27, 2024, the report highlights substantial progress and key milestones achieved in the first year of ATAF’s 2023-2027 Strategic Plan. Notable achievements include the execution of 20 training programs with 2,053 participants from 47 countries and the completion of 180 technical assistance missions in 35 countries.

“The 2023 Annual Report showcases ATAF’s achievements, successes, and impact across its member countries and reaffirms our steadfast commitment to strengthening Africa’s tax landscape,” remarked Mr. Logan Wort, Executive Secretary of ATAF.

ATAF’s support enabled its members to issue new tax assessments of US$1.41 billion, with US$620 million collected through audits. “This success builds on cumulative efforts since 2016, bringing total tax assessments to-date to US$4.75 billion and collections to US$1.92 billion,” noted a statement issued in Pretoria.

The ATAF Strategic Plan aims to bolster tax administration, enhance regional collaboration, provide crucial data for evidence-based decision-making, amplify Africa’s voice in global tax policy, and ensure financial sustainability for the organization to support its membership in tax efficiency.

In 2023, ATAF’s initiatives led to significant enhancements in Africa’s tax landscape, increased revenue assessment and collections, and strengthened global and continental stakeholder collaboration. These efforts contributed to long-term economic development through legislative, structural, procedural, and administrative reforms among its members.

To better protect their tax bases, six countries revised their international tax and transfer pricing policies based on ATAF’s recommendations, leading to significant legislative changes. Additionally, nine member countries reported an increase in the tax-to-GDP ratio, underscoring ATAF’s efforts in advancing tax administration and revenue mobilization across the continent. The organization’s success in 2023 was greatly aided by fruitful partnerships and innovative collaborations with regional and international organizations, as well as a receptive membership.

ATAF continued to lead in addressing gender inequality in taxation by hosting the second gender leadership conference in Mozambique. The event, titled “The Role of Tax Policy and Leadership in Addressing Gender Inequality in Africa,” attracted over 379 participants, highlighting the importance of inclusive tax policies. Furthering this commitment, ATAF launched the second ATAF Women in Tax (AWITN) mentorship program, pairing 45 mentors and mentees from 13 African countries and various segments of the tax industry, including tax administration, the private sector, and academia.

The report also emphasized ATAF’s pivotal role in providing valuable insights for its members in data, statistics, and analysis. The release of the 2022 African Tax Outlook on July 26, 2023, was a significant milestone, compiling extensive macroeconomic, customs, and tax administration data from 37 countries for the period from 2010 to 2022.

Globally, ATAF’s visibility continues to grow through its role in articulating the key priorities for African countries. The organization’s active participation in international tax standard-setting meetings significantly contributed to the global conversation on critical issues at both the UN and OECD. To address various tax administration and policy standards, ATAF developed nine technical notes, guidelines, and toolkits adopted by nine member countries. Notable examples include the implementation of the Domestic Minimum Top-up Tax (DMTT) in Eswatini, demonstrating the organization’s global influence and significance.

“In navigating the complexities of taxation, this report serves as a testament to our unwavering dedication to collaborative solutions and our resolute drive to foster sustainable economic growth across the continent. ATAF remains committed to pioneering innovative initiatives, shaping progressive policies, and propelling Africa towards a future defined by prosperity and equitable development,” affirmed Mr. Wort.

The ATAF 2023 Annual Report is available here.