Assembly’s IAC members, department of Finance discuss SADC agreement on tax matters |23 June 2021
IAC members during their interaction with representatives from the department of Finance
Members of the National Assembly’s International Affairs Committee (IAC) on Wednesday met with representatives of the department of Finance to officially discuss, review and consider the Southern African Development Community Agreement on Assistance in Tax Matters.
Members of the IAC engaged with the representatives from the department of Finance on certain concerns and ambiguity in the agreement in relation to compliance, erosion of tax base profit, the benefits for Seychelles in ratifying the agreement, as well as the impact on the baseline taxation offered by Seychelles and the unfairness of expectations on developing countries with low capacities to respond or comply quickly.
The delegation from finance comprised Patrick Payet, secretary of state for finance; Seylina Verghese, director general for tax and financial sector policy division; and Odile Vidot, director for financial sector policy division. The IAC was led by its chairperson, Hon. Waven William. The other members are Hon. Wavel Woodcock, Hon. Egbert Aglae, Hon. Kelly Samynadin, Hon. Wallace Cosgrow, Hon. Philip Monthy and Hon. Philip Arissol.
SS Payet gave a brief introduction on the aim of the SADC Agreement as well as the benefits for Seychelles if it were to be ratified.
He explained that the main objective of it is to exchange information on taxation arrangements and to assist member countries party to the Agreement.
In addition, the agreement will also enable State Parties to support each other in tax matters in regard to; the exchange of information in tax matters, carrying out tax examinations abroad, carrying out simultaneous tax examinations and assisting in the collection of taxes.
SS Payet mentioned that Seychelles has a good rating with the OECD and that this Agreement will further enhance the country to have a good standing. In addition, it will demonstrate that the Seychelles is keen to uphold domestic laws and aid law enforcement agencies and authorities to carry out their mandate. The need for African countries to unite as a block to negotiate for policy space to adjust progressively was heavily discussed, as well as the need for small island developing states to form alliances to push forward specific concerns and for special treatment consideration.
Press release from the National Assembly
