AIRLINK 171.00 Decreased By ▼ -2.15 (-1.24%)
BOP 11.19 Increased By ▲ 0.54 (5.07%)
CNERGY 8.45 Decreased By ▼ -0.07 (-0.82%)
CPHL 100.17 Increased By ▲ 2.71 (2.78%)
FCCL 46.60 Decreased By ▼ -0.65 (-1.38%)
FFL 15.25 Decreased By ▼ -0.17 (-1.1%)
FLYNG 27.79 Decreased By ▼ -0.34 (-1.21%)
HUBC 138.00 Decreased By ▼ -0.91 (-0.66%)
HUMNL 12.92 Increased By ▲ 0.11 (0.86%)
KEL 4.56 Increased By ▲ 0.02 (0.44%)
KOSM 5.40 Decreased By ▼ -0.15 (-2.7%)
MLCF 62.50 Increased By ▲ 0.24 (0.39%)
OGDC 213.15 Decreased By ▼ -1.60 (-0.75%)
PACE 5.43 Decreased By ▼ -0.12 (-2.16%)
PAEL 46.99 Increased By ▲ 2.13 (4.75%)
PIAHCLA 18.48 Decreased By ▼ -0.22 (-1.18%)
PIBTL 10.40 Decreased By ▼ -0.34 (-3.17%)
POWER 12.30 Increased By ▲ 0.04 (0.33%)
PPL 169.25 Decreased By ▼ -4.62 (-2.66%)
PRL 35.80 Decreased By ▼ -0.42 (-1.16%)
PTC 23.15 Decreased By ▼ -0.41 (-1.74%)
SEARL 96.30 Increased By ▲ 0.99 (1.04%)
SSGC 39.65 Increased By ▲ 0.52 (1.33%)
SYM 13.88 Decreased By ▼ -0.14 (-1%)
TELE 7.18 Decreased By ▼ -0.05 (-0.69%)
TPLP 10.01 Decreased By ▼ -0.28 (-2.72%)
TRG 63.38 Decreased By ▼ -1.30 (-2.01%)
WAVESAPP 10.06 Increased By ▲ 0.02 (0.2%)
WTL 1.32 Decreased By ▼ -0.01 (-0.75%)
YOUW 3.67 Decreased By ▼ -0.03 (-0.81%)
BR100 12,305 Decreased By -186.6 (-1.49%)
BR30 37,415 Decreased By -278.7 (-0.74%)
KSE100 114,853 Decreased By -1335.9 (-1.15%)
KSE30 35,217 Decreased By -533.1 (-1.49%)

KARACHI: Across the globe taxpayers support the idea of a fiscal contract – citizens agreeing to pay tax in exchange for services – but a global poll suggests that only a third see the deal working in practice.

Globally the survey found that 52% of respondents agree that taxes are a contribution to the community rather than a cost (25% disagree, rest neutral), but only 33% agree that tax revenues in their country are spent for the public good (46% disagreeing, rest neutral). In addition, 32% agree that public services and infrastructure are a fair return for the taxes they pay (50% disagree, rest neutral).

But the survey found that Latin American countries are consistently less positive than the regional averages for the sample countries in Africa and Asia. The findings are consistent with previous G20 survey results, where Mexico, Argentina and Brazil typically return lower trust and confidence scores than average.

Public Trust in Tax 2024: Latin America and Beyond – research by ACCA (the Association of Chartered Certified Accountants), IFAC (International Federation of Accountants) and joined for the first time by the OECD (Organisation for Economic Co-operation and Development) surveyed some of the largest countries by population in different regions of the world, including a deep dive focus on Latin America, encompassing different cultures and economies.

The focus on Latin America highlighted a weaker support for the fiscal contract in the region, with only 47% agreeing taxes are a contribution, and just 25% agreeing public services and infrastructure are a fair return for the taxes they pay. Respondents in Latin America were also less likely to see tax primarily as a legal issue. While 56% of those in Africa and 52% in Asia see tax mainly as a matter of laws and regulation, only 39% of respondents in Latin America did – 45% saw tax as an equal blend of both laws and morals, and 16% as mainly an issue of morals and fairness.

Helen Brand OBE, chief executive of ACCA said, “Trust in tax systems is crucial for sustainable development and prosperity. We look forward to using this important work to engage with policymakers, tax authorities and civil society to drive evidence-based policy initiatives to build effective and trusted tax systems.”

Commenting on the finding that tax accountants are the most trusted source of information on tax, and politicians the least, Lee White, CEO of IFAC said, “Consumer and investor protection is the foundation for economic prosperity, which aligns with building trust in the tax ecosystem. As the survey confirms, and in line with previous editions, professional tax accountants are the most trusted source of tax information globally.”

Copyright Business Recorder, 2024

Comments

Comments are closed.