The G7’s Global Minimum Corporate Tax Rate: A Good Deal for Africa?
(Photo: Jonathan Torgovnik/Getty Images/Images of Empowerment)
The G7’s announcement, in June 2021, of a new deal to tax multinational corporations, was met with a combination of enthusiasm and scepticism. In the face of the Covid-19 pandemic, governments around the world are facing falling revenues combined with increased spending demands, and none more so than across the African continent where a debt crisis also looms. As such, interest has grown about the potential of the G7’s tax proposal to help raise much-needed government resources.
This Friday (24 September), Tax Justice Network Africa (TJNA) – Global Alliance for Tax Justice's regional network in the continent – co-published together with the Gender and Development Network (GADN), FEMNET and Nawi Afrifem Macroeconomics Collective, the paper 'The G7’s Global Minimum Corporate Tax Rate: A Good Deal for Africa?', written by Chenai Mukumba, policy research and advocacy manager at TJNA.
This paper seeks to assess the G7’s tax proposal and its potential impacts on African countries, including its likely consequences for women’s rights. It concludes that the benefits for the continent will be sparse and suggests recommendations for alternative action.
The G7/G20/OECD tax deal will not benefit developing countries
The Global Alliance for Tax Justice (GATJ) calls other civil society organisations from all around the world to reject the forthcoming G7/G20/OECD tax deal. Endorse our statement until 4 October 2021 to join our call to make taxes work for people and the planet.