Enhancing Tax Revenues through Digital Transformation in Developing Asia

Publication | August 2023

Tax revenues are one of the most important drivers of economic growth and development, particularly in developing economies.

Key Points

  • Developing countries are facing challenges, such as climate change and digital disruption, which force governments to improve their revenue efforts.
  • In order to help countries address challenges in revenue efforts, many international frameworks have been developed and implemented by different international organizations and agencies.
  • To help tax authorities, particularly in developing countries, to deal with the current challenges and boost revenue efforts, international organizations and bodies have developed international frameworks, guidelines, and toolkits for awareness-raising, knowledge-sharing, and tax‑educational purposes. These include Tax Administration 3.0, Tax Administration Diagnostic Assessment Tool, Framework on Base Erosion Profit Shifting, and Value-Added Tax Digital Toolkit, among others.
  • Policy implications for innovative tax administration cover (i) the establishment of comprehensive taxpayer databases, (ii) the modernization of tax administration through technological advances and digital transformation, and (iii) strengthening tax cooperation at both the domestic and international levels.

Additional Details

  • Economics
  • Governance and public sector management