Unclassified DCD/DAC(2012)34 Organisation de Coopération et de Développement Économiques Organisation for Economic Co-operation and Development 13-Aug-2012 ___________________________________________________________________________________________ English - Or. English DEVELOPMENT CO-OPERATION DIRECTORATE DEVELOPMENT ASSISTANCE COMMITTEEUnclassifiedDCD/DAC(2012)34 TAX AND DEVELOPMENT Aid Modalities for Strengthening Tax Systems This document is submitted to the DAC for APPROVAL under written procedure. If no comments are received by 14 September 2012 c.o.b. it will be considered approved and will be issued for publication as final. The report has been finalised by the OECD/DAC-GOVNET Tax and Accountability Task Team as a key deliverable in the Programme of Work and Budget 2011/2012 (DCD/DAC(2010)31/FINAL). It was approved by GOVNET members under written procedure on 13 July 2012. The paper is a joint OECD/DAC Network on Governance (GOVNET)/ International Tax Compact (ITC) report that examines the aid instruments donors can use to assist developing countries in strengthening their tax systems. The assessment draws on three sources: a review of the relevant literature; a survey of aid agencies officials; and six case studies that afford a ground-level view of how various modalities work in practice. This report is a direct response to the growing awareness of the potential mutually beneficial links between taxation and governance. The analysis and insights in this paper have already been taken forward by the joint DAC/CFA Tax and Development Programme in the form of principles for international engagement in tax matters which will be validated and finalised in 2012/13. The paper also offers valuable guidance for donors and will be launched and disseminated during the next cycle of OECD Task Force on Tax and Development meetings in 2013 (dates tbc). Please note that this document is only available on OLIS in pdf format. Ben Dickinson, DCD/POL - Tel: +33 (0)1 45 24 15 29 - E-mail: firstname.lastname@example.org Kjetil Hansen, DCD/POL - Tel: +33 (0) 1 45 24 90 21 - E-mail: email@example.com English - Or. English JT03325321 Complete document available on OLIS in its original format This document and any map included herein are without prejudice to the status of or sovereignty over any territory, to the delimitation of international frontiers and boundaries and to the name of any territory, city or area.