Impact of Value-Added Tax in revenue stability in some African countries – Policy and compliance gaps using the C-efficiency
As the Covid-19 crisis hits, African countries have put in place several tax-relief measures to mitigate against and ameliorate the economic impact of the pandemic on the economy. These measures, to name just a few, include the following: i. The fast-tracking of VAT refunds, with specific treatment for smaller VAT taxpayers. ii. A case-by-case application for a waiver of penalties by large taxpayers that can show they are incapable of making tax payments due to the COVID-19 disaster. iii. The suspending of mineral import duty. iv. Extending the filing and payment deadlines for tax returns, and v. Cutting taxes on medical products, among others.