- OECD launched a tool to help low
- and middle-income countries improve tax systems for social protection
- The Domestic Resource Mobilisation Framework aids in benchmarking, evaluating reforms, understanding trade-offs, and estimating revenue
- In Cameroon, potential tax reforms could increase revenue by 3 percent of GDP short-term and 9 to 12 percent medium-term
- Funds could support universal health coverage through increased tobacco duties, reduced VAT exemptions, and stronger tax enforcement
- Many countries need an additional 5 to 16 percent of GDP for basic universal social protection
- Current gaps include only 50 percent healthcare access in lower-middle-income countries and 40 percent pension coverage for retirees
- Recommended reforms involve broadening tax bases, enhancing tax progressivity, and formalizing informal sectors
- The initiative aims to support fiscal sustainability and inclusive growth with tailored policy insights
Source: globalvatcompliance.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
