The document discusses the impact of the global financial crisis on developing countries and the role of taxation in development. It notes that the crisis has led to declines in development financing, trade, remittances and risks increasing world hunger and poverty. It argues that taxation is crucial for governments to generate sustainable revenue and be accountable to citizens. However, an estimated $160 billion is lost annually to developing country governments from tax evasion, corruption and illicit financial flows. The crisis presents an opportunity to address these issues through greater tax transparency and information exchange between countries.

1. The Tax Factor: Why that special ‘something’ is missing from development Alex Cobham ( [email_address] ) ‘ The Missing Millions’, Edinburgh 7 October 2009

8. Christian Aid has launched Poverty Over – join us http://povertyover.christianaid.org.uk

12. iii. Missing Millions: how much is lost Illicit outflows driven by commercial tax evasion : $300 - $520 billion Criminal proceeds: $150 – $280 billion Corruption of public officials: $15-24 billion Aid: $50 - $80 billion INFLOWS OUTFLOWS

13. Christian Aid estimate of tax revenue loss to developing countries: $160 billion/ year ( Death and Taxes, False Profits ) iii. Missing Millions: how much is lost

14. iii. Missing Millions: how much is lost

15. Zambia - life without tax “we have empty medicine cabinets.”

16. Bolivia – tax works! “if we didn’t have our state pension, how would we survive?’

19. The Tax Factor

21. Tax/GDP ratios: EU-15 SSA