In many developing countries, total tax revenue is derived from three main sources domestic taxes on goods and services (sales and excise taxes), direct taxes (primarily on corporations), and, most important, taxes on foreign trade (import duties). But, as trade liberalization has lowered tariffs and duties, the share of trade taxes has declined, while other sources have not compensated for falling trade revenue.

(a) As tariff barriers decline, it is important to find other revenue sources in place of falling trade tax revenue since, in several African countries, such revenue remains a significant part of total revenue. During the transition to non trade sources of revenue, aid flows, aimed at replacing revenue shortfalls from trade liberalization, could be very useful

An indirectly negative impact of trade liberalization on diversification may be felt in developing countries where trade taxes are a significant source of government revenue.

The Government of Uganda decided in 1994 to liberalize the gold trade, revoke the gold export tax of 3 to 5 per cent, and relax all administrative burdens imposed on trading companies.

But how can they collect more taxes when their economies stagnate and are stunted as a result of unfair terms of trade, massive debt burdens and structural adjustment programmes?

Hope the taxpayers can afford it.

32. A burden weighing on continued trade expansion is the continuing recourse to NTBs to trade, by both developed and developing countries alike.

Interim Commission for the International Trade Organization General Agreement on Tariffs and Trade

By contrast, in high income countries, income taxes (primarily on individuals) comprise the largest proportion of tax revenue (roughly 36 ), while domestic taxes on goods and services and social security contributions each account for slightly more than one quarter. Moreover, the share of trade taxes is typically low.

To ensure harmonization of customs legislation and reduce the differences in the amounts of customs duties and indirect charges, and to adopt an agreed decision on unified principles for the conduct of customs controls in trade with one another

1720 Urgency and safeguard duties

GATT General Agreement on Tariffs and Trade

The nature of the peak tariffs and their selective application would warrant complementing the existing tariff and trade data base with detailed national trade data specifying for each tariff line the trade flows under the various tariff regimes and rates applied.

UNCTAD has responsibility for the trade policy component.

This drop in revenues may be worsened by the amendments to the laws on free zones, value added tax and income tax adopted in 1997 and 1998, which together have eroded the tax base.

The determination of customs duties and other foreign trade revenue.

10B. International Trade Centre UNCTAD GATT

In addition to information concerning the frequency of NTBs, they also make it possible to gather data on the relative importance of different measures, such as their trade restrictiveness or trade impact.

25. Emphasizes the importance of addressing the concerns of a number of developing countries in respect of the erosion of preferences and the impact of liberalization on their tariff revenues

(d) To coordinate activities with a view to broadening international cooperation, including cooperation with middle income countries, and eliminating the imbalances in the international financial and trade regime, as well as the external debt burden

ICITO GATT Interim Commission for the International Trade Organization General Agreement on Tariffs and Trade

Tax Transactions by Payee

The granting to seniors of exemptions and facilities that relieve them of the burden of taxes and rates in all areas.

India s complex system of national and state sales taxes distorts domestic trade. Replacing these taxes with a national value added tax and using revenue sharing to the states has been long debated and should now be enacted.

As a result of successive rounds of multilateral trade negotiations, as well as regional trade agreements and autonomous tariff reduction initiatives, tariffs are continuously being lowered.

Their main function is to collect taxes from the municipality.

Without trade, there can be no sustained equitable economic growth. Without economic growth, tax revenues will not grow. And without tax revenues, improved public services are not sustainable.

If a country s terms of trade (the price of its exports) deteriorate and a large recession persists for a long time, its government s revenue base may shrink and its debt burden may become excessive. But an unsustainable debt burden may also result from borrowing to spend too much, failure to collect sufficient taxes, and other policies that undermine the economy s growth potential.

They may arbitrarily undercharge or overcharge taxes and duties on commercial transactions to the point of extortion.

In that view, the primary emphasis in regional integration is on trade liberalization, involving across the board removal of tariffs through the formation of a free trade area or customs union.

This should include individual trade flows by partner countries under the MFN, GSP and LDC rates, preferential trade within free trade agreements, customs unions or other preferential arrangements, trade under outward processing regimes, and autonomous tariff rates.

When the permit prices become large enough to have a significant effect on CO2 emissions, there will be political pressure to introduce tariffs on imports that offset the advantage of countries with low permit prices. Such offsetting tariffs would have to differ among products (being higher on more CO2 intensive products) and among countries (being higher for countries with low permit prices).

The continual decline of tariff rates as the result of eight GATT rounds of multilateral trade negotiations (MTNs) has increased the relative importance of NTBs both as protection and as regulatory trade instruments.

Indicators of importance are, for example, population size, gross domestic product, balance of trade, per capita income, the unemployment rate, the inflation rate, the level of debt per capita, levels of education, levels of savings, levels of foreign direct investment, government trade policies (tax incentives for investors), and the exchange rate per US dollar, etc.

China could usefully explore shifting part of the burden from labor toward property, capital gains, and inheritance taxes. Larger dividends paid to the budget from the highly profitable state enterprise sector could also provide an alternative source of funds.

One key idea was to lighten the tax burden on labor . Taking into account the personal income tax and various social contributions, taxation of labor income in China is too high . To be sure, taxes are needed to finance social spending, but revenue sources other than taxes on labor income could do the job. China could usefully explore shifting part of the burden from labor toward property, capital gains, and inheritance taxes.

The continual decline of tariff rates as a result of eight multilateral trade negotiations has raised the relative importance of NTBs in terms of both protection and regulatory trade instruments.

6. Urges States to eliminate barriers to trade, including tariff peaks, high tariffs and non tariff barriers and measures which are not consistent with their obligations under the World Trade Organization agreements, taking into account the importance of the trade of fisheries products, particularly for developing countries

Urges States to eliminate barriers to trade, including tariff peaks, high tariffs and non tariff barriers and measures which are not consistent with their obligations under the World Trade Organization agreements, taking into account the importance of the trade of fisheries products, particularly for developing countries

5 In 1993 and 1995, UNCTAD drew the attention of the international community to the heavy burden of multilateral debt see UNCTAD, Trade and Development Report, 1993 and 1995.

33. A further concern is the decline in tax revenues forecast for 1999, owing to the repeal of the Act on a Single Property Tax, tariff reductions, the ending of the commercial and agricultural enterprise tax, which is expected to occur in mid 1999, and the planned cut in income tax rates.

In cases where any country or region violates the provisions of trade agreements and related legal instruments signed with China or to which it and China are parties by adopting prohibitive, restrictive or levying extra tariff duties or other measures affecting normal trade against the People's Republic of China, retaliatory customs duties may be levied on imported goods originated from the said country or region and the retaliatory tariff rate will be used.

(b) The elimination of trade distorting policies, protectionist practices and non tariff barriers in international trade relations

While average agricultural income grew by 90 in the 1994 97 period, the rural tax burden jumped by 800 . More than 300 taxes and fees have been imposed on peasants by all levels of government.

(a) Fiscal incentives reduce the tax burden for a foreign investor.