Document Library

This policy brief is designed to assist ATAF members in their tax policy considerations of the taxation of highly digitalised businesses operating in African countries. Many ATAF members have reported difficulties in taxing such businesses. Their economies are rapidly becoming more and more digitalised and that digitalisation often enables multinational enterprises (MNEs) to carry out business in African countries with no or very limited physical presence in those countries. This makes it difficult for African countries to establish taxing rights over the profits the MNE is making from those business activities.