By Oluwakemi Kindness
The African Tax Administration Forum says tax audit interventions it supported across member countries generated $907.8 million in tax assessments in 2025, with governments successfully recovering $685.8 million.
According to the ATAF’s 2025 Annual Report released on Friday, the revenue came from transfer pricing audits, digital services taxes, and cross-border Value Added Tax compliance measures aimed at improving tax collection and reducing leakages.
The organisation said the additional revenue is helping African governments strengthen public finances and fund infrastructure, healthcare, education and other critical sectors without excessive borrowing.
ATAF disclosed that $47.1 million was generated from transfer pricing audits, $3.57 million from digital services tax, and $142.96 million from cross-border VAT compliance efforts.
The report also showed that ATAF provided technical assistance to 35 African countries and trained 2,433 tax officials from 43 countries, including Nigeria, during the year.
The organisation said its interventions are helping countries tighten tax administration systems, tackle tax avoidance by multinational corporations, and improve domestic revenue mobilisation amid rising debt pressures across the continent.
ATAF added that several member countries received support to establish specialised transfer pricing units and exchange-of-information systems to strengthen monitoring of multinational companies and combat illicit financial flows.
Speaking on the report, ATAF Executive Secretary, Mary Baine, said domestic resource mobilisation has become critical to Africa’s economic future.
“Domestic Resource Mobilisation is no longer optional for Africa; it is the foundation for sustainable development, economic resilience, and fiscal sovereignty,” she said.
The report further highlighted ATAF’s growing focus on emerging areas including digital economy taxation, carbon taxes, artificial intelligence-driven compliance systems, and taxation of high-net-worth individuals.
ATAF maintained that stronger and more transparent tax systems are essential for reducing Africa’s dependence on external borrowing and improving long-term economic resilience.
