Tax for Development
The African continent is rich in natural resources and many countries in Africa are experiencing healthy economic growth. Nonetheless, little of this growth is benefiting the poor.
Due to tax exemptions and evasion, the tax contribution of many companies and individuals is close to negligible. This means that entire societies lose out on vast revenues which could have been used in areas such as infrastructure, education and health care.
Comparison of tax revenues
A broader tax system and more awareness around issues of taxation can foster stronger political engagement by the general public.
People who pay taxes will place demands on the authorities for equitable taxation, and for greater transparency with regard to who the tax contributors are and how the revenues are spent. An open dialogue around tax issues could therefore act as a catalyst towards more accountable politicians.