Central African Republic Tax Revenues 'Fragile' Despite Reforms

by Lorys Charalambous, Tax-News.com, Cyprus

27 December 2016

The Central African Republic, a landlocked country in central Africa, has made significant progress on fiscal reform but its revenues, while increasing, remain "fragile," according to the International Monetary Fund.

The conclusion came at the end of the first review by the IMF of policies implemented under an Extended Credit Facility lending arrangement for the nation.

According to the Paying Taxes 2017 report from PwC and the World Bank, the Central African Republic has the fourth-highest "total tax rate" in Africa at 73 percent. The report said that Africa is the most difficult region in the world to pay taxes and highlighted the Central African Republic as the least efficient country at completing audits, with a processing time of more than 66 days.

The IMF said that "structural reforms have been implemented, albeit with some delays..." and added that "the planned review of tax policy, the ongoing strengthening of tax administration, and the streamlining of tax exemptions should gradually bring tax revenue back to its potential."

TAGS: tax | audit | Central African Republic | Africa | Tax

Please enter your email address to join the Tax-News.com mailing list. View previous newsletters.

To manage your mailing list preferences, please click here »