PM Djerad: Need to integrate equity in tax system


The national tax reform must integrate the principle of equity but also the digitization and efficiency of the administration concerned so that the tax can be in line with the challenges of the new economic vision of the country, Prime Minister Abdelaziz Djerad said Monday in Algiers.

Speaking on the National Conference on Tax Reform, the Prime Minister considered it necessary for the tax administration to take into consideration the principle of equity by ensuring that the tax burden is evenly distributed among taxpayers, as is the case notably at the level of income tax.

This, Mr. Djerad insisted, must include the fight against the parallel economy that constitutes “a prejudice to tax compliance”.

He noted the absence of contribution to tax revenues of operators operating in the parallel circuit, which forces operators operating legally to bear the entire tax burden, Mr. Djerad noted.

According to the Prime Minister, “This also contributes to reducing the effectiveness of public policies in the framework of investment support because it is an obstacle to the smooth running of the national economy,” he stressed.

In addition, the Prime Minister noted the interest for the tax administration to rely on a vision based on the digitization of tax operations.

Moreover, Mr Djerad considered that the future economic challenges to be met within the framework of the new economic program, “require the integration of a tax system in line with the new economic vision of the country” into this reform.

This, he explained, is based on “the promotion of start-ups, digitization and may allow our country to get out of its dependence on extractive products and integrate it into the international value chain.



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