General problem/challenge addressed by the commitment
Revenues generated from taxes have remained low over time, due to the tripartite challenges of: non-declaration of tax liability and tax payment by the companies to tax authorities; tax evasion and avoidance; and, abuse of tax incentives and waivers
To generate substantially more domestic revenue/tax as well as more ownership and commitment for the establishment of transparent, fair and efficient tax systems. This will help to address the challenges of tax evasion, tax avoidance, transfer pricing and other harmful tax practices, and subsequently promotes fairness and justice in tax administration.
Specific OGP challenge addressed by commitment
A more open tax regime will lead to improved public services, increased public integrity, more effective management of public resources by government and increased corporate accountability by the corporates.
Rationale for commitment
This commitment is relevant to Revenue Tax Transparency, Accountability, Technology and Innovation and Access to Information.
This commitment intends to maximize government’s revenue and improve citizens’ welfare and engagement by increasing government accountability in the use of public resources
1. Percentage growth in corporate tax
2. Proportion of revenue that gets into the Federation Account
3. Proportion of companies that comply with the Common Reporting Standards
4. Proportion of reporting financial institutions disclosing tax information to relevant tax agencies