Enhancing Tax Revenues in North Africa (International Consultant)

Result of ServiceThe following deliverables are expected: 1) Support/training to Tax officers in Egypt and Libya. The consultant will deliver technical support/training as needed. 2) Monthly progress report summarizing the on-going work and expected outcomes. 3) Prepare and run four technical workshops on: - Accounting standards of the shipping industry and its impact on tax reporting. - Taxing agricultural industries in Egypt. - E-Taxation in Libya. - Taxing eCommerce in Libya. 4) Prepare Report on ECA technical assistance to Libya. 5) Final report at the end of the four workshops to summaries objectives, work plan, activities, achievements, areas that needs further interventions, and recommend set of actions to be taken by tax authorities in Egypt and Libya. The plan and deadlines for the deliverables will be discussed and decided in consultation between the consultant and SRO-NA. Work LocationNorth Africa Expected duration5 Months Duties and ResponsibilitiesECA's mission is to deliver ideas and actions for an empowered and transformed Africa; informed by the 2030 Agenda and Agenda 2063. The mission will be guided by ECA's five new strategic directions which are: Advancing ECA's position as a premier knowledge institution that builds on its unique position and privilege to bring global solutions to the continent's problems and take local solution to the continent; Developing macroeconomic and structural policy options to accelerate economic diversification and job creation; Designing and implementing innovative financing models for infrastructure, and for human, physical and social assets for a transforming Africa; Contributing solutions to regional and trans-boundary challenges, with a focus on peace security and social inclusion as an important development nexus; Advocating Africa's position at the global level and developing regional responses as a contribution to global governance issues. The Sub-regional Office for North Africa of the ECA (ECA SRO-NA) is located in Rabat (Morocco), and serves seven member states: Algeria, Egypt, Libya, Mauritania, Morocco, Sudan, and Tunisia. The main objective is to contribute to achieving structural transformation and balanced development through implementation of an environment conducive to the creation of employment for women and young people in North Africa. Its core functions are: Strengthening the capacity of member states in the sub-region to design and implement national policies and strategies for sustainable employment creation; Contributing to the implementation of sub-regional development priorities in line with the 2030 Agenda and Agenda 2063 with due consideration for youth and gender perspectives; Improving macroeconomic and fiscal policies, and to ensure sustainable growth; Providing relevant technical assistance to member states and to regional economic communities and intergovernmental organizations in building their capacities to sustain economic, social and political transformation, with a particular focus on employment, skills and balanced development, with the aim of ensuring inclusive growth, taking into consideration access to equal opportunities for women and young people. Background and rationale for support The Egyptian tax Authority is considered the largest tax administration in the region and with taxes representing more than 75% of the general revenues of the state, the Egyptian Ministry of Finance kicked off a comprehensive national project for the automation and digitalization of the Egyptian Tax Authority processes and procedures to integrate the informal economy into the formal economy, enhance governance over the tax return, list the tax community more accurately, and expand the tax base, to lay the foundations for tax justice, and fair competition in markets. In Libya, the current tax revenues to GDP are very low (around 2.5%) and the Libyan government intends to diversify government revenues and reduce reliance on oil by increasing non-oil tax revenues from sources such as exports of non-oil products. Libya suffers from the issue of tax evasion stemming from noncompliance behavior by taxpayers and weak government’s monitoring and enforcing capacity. In addition, Libya faces the issue of a narrow tax base with an overwhelming share of non-tax hydrocarbon revenues which has made fiscal policy not only procyclical but also vulnerable to oil price shocks, domestic production volatility, and political instability. The Libyan Tax Authority (LTA) aims to widen the tax base through the implementation of direct as well as indirect taxes that are not dependent of oil production and exports. Duties and Responsibilities: Under the direct supervision of the Chief of the Subregional Initiatives Section and the overall supervision of the Director of ECA SRO-NA, the consultant will prepare technical material and conduct four capacity building workshops as per the following tasks: Taxing Shipping Sector in Egypt: - Provide an overview of key concepts within the shipping economic sector. - Outline the framework for direct and indirect taxes applicable to the shipping industry. - Examine the effects of COVID-19 on taxation, accounting, and financial reporting within the shipping sector. - Analyze the influence of International Financial Reporting Standards (IFRS) on the shipping industry, particularly regarding taxation, focusing on: - Understanding the five-step revenue recognition model outlined by IFRS. - Analysis of the new lease accounting standards and sale-leaseback transactions. - Clarifying various depreciation methods for shipping assets and impairment related to non-financial assets. - Address indirect tax audit issues and best practices, highlighting best practices for implementing Value Added Tax (VAT) in the shipping industry. - Explain cross-border considerations and double taxation issues pertinent to the shipping sector. - Engage with Egyptian large taxpayers’ officials on the distinct challenges and considerations in auditing both direct and indirect aspects of the shipping industry. Taxing Agricultural Industries in Egypt: - Discuss business structures in agriculture such as individuals, cooperatives, and agri-corporates. - Explain the computation of income taxation in crop production, livestock, and agro-processing. - Explaining the key concepts in IAS 41 – Agriculture such as biological transformation, fair value, and harvesting. - Discuss the impact of IAS 41 and financial reporting and tax assessments. - Understanding the allowable deductions, depreciation, and allowable expenses in agricultural operations. - Strengthen tax audit skills related to agriculture industry cases and sector-specific issues. Introducing Electronic Taxation in Libya: - Provide a summary of electronic tax services and systems to the Libyan Senior Tax officials. - Discuss electronic tax administration services such as e-filing, e-payment, and online tax registrations. - Explore the benefits and risks associated with e-taxation services for tax administration. - Review the insights gained from the digital transformation of the Egyptian tax administration. - Explain the structure of tax administration and the challenges presented by digital transformation and changing work patterns. - Address the infrastructure requirements essential for the successful implementation of e-taxation systems. - Describe how digital transformation enhances transparency, efficiency, and revenue generation. Taxing eCommerce in Libya: - Introduce best practices in tax audit procedures for online business activities - Discuss the legal and regulatory framework for digital businesses - Enhance awareness of tax obligations for freelancers and entrepreneurs, including VAT, income tax, and social contributions. - Clarify legal requirements and registration processes relevant to digital businesses and professional service providers. - Facilitate peer learning and policy dialogue between Egypt’s experts and Libyan tax officials on improving tax compliance and enforcement in the informal and digital sectors. Provide technical analysis of direct (income/corporate tax) and indirect (VAT/GST) taxation frameworks for professional services in Egypt and Libya Qualifications/special skillsAdvanced university degree (master’s at least) in economics, statistics or related fields is required. A first-level university degree in combination with two years of qualifying experience may be accepted in lieu of the advanced university degree. A PhD degree is an advantage A minimum of ten years of experience in Taxation is required Experience in analytical policy research in economies, or macroeconomic analysis in North Africa and/or Africa is an advantage LanguagesEnglish and French are the working languages of the UN Secretariat. For this consultancy, Fluency in one of the working languages of the UN Secretariat is required. Fluency in the other language is an advantage Additional InformationNot available. No FeeTHE UNITED NATIONS DOES NOT CHARGE A FEE AT ANY STAGE OF THE RECRUITMENT PROCESS (APPLICATION, INTERVIEW MEETING, PROCESSING, OR TRAINING). THE UNITED NATIONS DOES NOT CONCERN ITSELF WITH INFORMATION ON APPLICANTS’ BANK ACCOUNTS.