Tax in Iraq: IMF Identifies 6 areas for Reform

Walter

24th April 2024 in Iraq Banking & Finance News, Politics

By John Lee.

The International Monetary Fund (IMF) has published a “High Level Summary Technical Assistance Report” looking at the tax system in Iraq.

The report identifies six core reform areas:

  1. Establishing a reliable taxpayer base;
  2. Improving core functions through implementation of the SA system;
  3. Focusing on large taxpayers’ compliance;
  4. Organizational design and workforce planning;
  5. Transitioning to a digital environment; and
  6. Reform[ing] governance.

It says:

“The Government of Iraq has embarked on a considerable modernization journey for the General Commission for Taxes (GCT) with the goal of expanding the revenue base following a tax/GDP decline of 1 percentage point in 2022 (from 2 percent in 2020). 

“Taking into account the internal and external challenges, and the findings of the 2022 Tax Administration Diagnostic Assessment Tool (TADAT) and the existing plans of the authorities, the report highlighted core reform areas to be included in a reform plan for the GCT. 

“The report also included an indicative integrated FAD/METAC mid-term capacity development (CD) plan for the next three years.“

More here.

(Source: IMF)

https://www.iraq-businessnews.com/?p=218531

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