- Asia-Pacific is the fastest-growing and most populous region, with 60% of the world’s population.
- OECD report highlights taxation statistics for VAT, GST, and other taxes on goods and services.
- In 2023, taxes on goods and services accounted for 50.2% of total tax revenue in Asia-Pacific.
- This percentage is similar to Africa and Latin America and Caribbean regions.
- Asia-Pacific has a higher rate than the OECD average of 31.5% in 2022.
- VAT is the most significant contributor to tax revenue in Asia-Pacific, at 25.8%.
- Some countries like Bhutan, Hong Kong, and Malaysia do not impose VAT.
- In 24 countries, taxes on goods and services are the primary source of tax revenue.
- In 17 countries, VAT provides a larger share of revenue, from 23.2% to 57.1%.
- In 7 countries, other taxes like excises and import duties exceed VAT or GST.
- On average, VAT or GST accounted for nearly 26% of total tax revenue in 2023.
- This is below Africa and Latin America averages but above the OECD average.
- Taxes on goods and services are increasingly significant for state budgets.
- Growth in the region as a manufacturing and exporting hub will likely increase these numbers.
Source: vatabout.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.
