Ploumen to help developing countries collect taxes

The Netherlands is to help developing countries collect taxes. ‘If we want governments in developing countries to stand on their own two feet, we need them to generate their own income and be accountable to their own people,’ said Lilianne Ploumen, Minister for Foreign Trade and Development Cooperation.

The minister added, ‘I recently made agreements about this with Frans Weekers, the State Secretary for Finance. We will be working with experts from the Tax and Customs Administration and the Ministry of Finance to assist tax authorities in developing countries where the Netherlands has a special involvement. We are one of the first countries to launch a venture of this kind.’

The experience gained in the new venture will be pooled with existing Dutch expertise in this field and deployed for the benefit of Tax Inspectors Without Borders – the task force on Tax and Development launched by the Organisation for Economic Cooperation and Development (OECD).

In addition, Ms Ploumen and Mr Weekers will review several existing tax treaties and assess what impact they have on the tax revenues of developing countries. ‘Some of these treaties date back many decades and we want to see whether they need to be modernised,’ the Minister explained.