ISSN: 2709-8575
Affiliations: N/A
Source: African Multidisciplinary Tax Journal, Volume 5, Issue 1 (2025)
N/A
ISSN: 2709-8575
Affiliations: N/A
Source: African Multidisciplinary Tax Journal, Volume 5, Issue 1 (2025)
N/A
ISSN: 2709-8575
Affiliations: N/A
Source: African Multidisciplinary Tax Journal, Volume 5, Issue 1 (2025)
N/A
ISSN: 2709-8575
Affiliations: N/A
Source: African Multidisciplinary Tax Journal, Volume 5, Issue 1 (2025)
N/A
ISSN: 2709-8575
Affiliations: Université Clermont-Auvergne, CNRS, IRD, CERDI, F-63000 Clermont-Ferrand, France
Source: African Multidisciplinary Tax Journal, Volume 4, Issue 1 (2024), p. 1–17
https://doi.org/10.47348/AMTJ/V4/i1a1
The sharing of mining rents is a particular challenge for African countries. To explain the determinants of profit-based and production-based taxes, we use a panel of 22 gold-producing countries in Africa between 2000 and 2020 using the ordinary least squares (OLS) method controlled for time and country fixed effects. Our empirical results show that the road distance between the capital of the country and its relevant port is an important indicator in the choice of rent taxation instruments. The road distance between the capital of a country and its relevant port tends to reduce the average effective tax rate (AETR) through the share of profit-based taxes in AETR. Thus, countries that do not have direct access to the sea should favour production-based taxes over profit-based taxes in the taxation of mining rents.
ISSN: 2709-8575
Affiliations: Laboratoire d’Economie Publique (LEP), Faculté des Sciences Economiques et de Gestion, Université d’Abomey-Calavi, Benin; Laboratoire d’Economie Publique (LEP), Faculté des Sciences Economiques et de Gestion, Université d’Abomey-Calavi, Benin
Source: African Multidisciplinary Tax Journal, Volume 4, Issue 1 (2024), p. 18–36
https://doi.org/10.47348/AMTJ/V4/i1a2
This paper analyses the effect of the tax rate on industrial profits on industrial production in sub-Saharan Africa. A Seo and Shin dynamic threshold panel model was specified and estimated for this purpose. Using data from the World Bank (WDI) over the period 2005–2021, the results from the estimation of the dynamic threshold model show that there is a threshold from which the effect of the tax rate on profits of industries becomes negative on industrial value added. This is a threshold of 20,47% of the tax rate on industrial profits. Beyond this threshold, the effect of the rate of this type of tax becomes negative on industrial production in Sub-Saharan Africa, precisely in the 25 countries taken into account in this study. The study therefore recommends the implementation of policies favourable to broadening the tax base and moderate tax rates.