Fin24

Africa to discuss tax fraud

2012-07-24 08:14

Johannesburg - Fighting fraud and tax evasion will be discussed at a meeting of African tax administrators in Pretoria this week, the African Tax Administration Forum (Ataf) said on Monday.

Law advisers and officials from 26 of Ataf's 34 member states, including the South African Revenue Service (Sars), were expected to finalise a draft treaty on mutual assistance in tax matters at the meeting taking place from Wednesday to Friday.

Ataf executive secretary and Sars group executive Logan Wort said the meeting was in line with international moves to curb tax fraud and evasion through the exchange of information among revenue authorities.

"Africa needs to close the gaps that allow for illicit capital outflows and tax evasion and avoidance.

"This treaty will be the biggest tax treaty ratification of its kind undertaken anywhere in the world and will for the first time allow for cooperation and assistance between African revenue authorities."

It would provide for the exchange of information in tax matters, including the carrying out of tax examinations abroad and helping in the collection of taxes, said Wort.

Ataf was established in 2009 as a forum for tax administrations in Africa to promote efficient tax administration to foster economic growth and improved service delivery.

Sars commissioner Oupa Magashula is the chairperson of Ataf.

The 26 countries which will participate in the meeting include Botswana, Burundi, Cameroon, Chad, Comores, Gambia, Ghana, Kenya, Lesotho, Madagascar and South Africa.