“2024 Tax Administration Series: Digital Transformation and Compliance”
Summary: The 2024 edition of the Tax Administration Series (TAS) highlights significant trends and challenges in global tax administrations, with a strong focus on digital transformation. Key points include:
- Digital Transformation: E-filing, e-payment, AI, and APIs have become mainstream, driving changes in tax administration models. The COVID-19 pandemic accelerated these digital initiatives.
- VAT Compliance: VAT accounted for 30% of net revenue collections, with a high adoption rate of e-filing (95.6%). This indicates strong digital channel usage for VAT compliance.
- Challenges: Ensuring accessible formats and offline service options for citizens without internet access or with disabilities remains a challenge.
- Innovative Practices: Examples of innovative practices in VAT administration include the use of AI for fraud detection and the implementation of e-invoicing systems.
- Future Directions: Continued efforts in digital transformation, improving accessibility, and enhancing compliance through technology are anticipated.
Emphasized Ideas:
- The importance of digital transformation in tax administration.
- Ensuring inclusivity and accessibility in tax services.
- Collaboration among tax administrations to improve global taxpayer services.
Next Steps:
- Encourage further digital transformation efforts.
- Focus on accessibility and inclusivity in tax services.
- Continue analysis and dialogue on tax system design and administration.
Critical Points:
- Challenges in providing accessible formats and offline service options.
- The impact of digitalization and the COVID-19 pandemic on tax administration models.
- The need for effective collaboration among tax administrations to improve services.
Connections:
- Digital transformation efforts are linked to the need for accessible formats and offline service options.
- The role of TAS in facilitating analysis and dialogue on tax system design is connected to the importance of collaboration among tax administrations.
- The challenges posed by external factors like digitalization highlight the need for continuous adaptation and innovation in tax administration.
Source OECD
