According to the United Nations Economic Commission for Africa (UNECA), Africa loses approximately US$ 50 billion each year on illicit financial flows of which transfer mispricing is one of the primary source. In many African countries, transfer mispricing poses serious risks to the extractive industry tax base, and this informed the introduction of the transfer pricing regulation in Ghana and a special unit to conduct transfer pricing audit.
This notwithstanding, the challenges persist in the area of implementation and enforcement. Thus, the Natural Resource Governance Institute and the Ghana oil and Gas for Inclusive Growth have investigated these challenges in the implementation of transfer pricing rules in Ghana and come out with a research report which will be launched on Thursday 7th July, 2016 at Alisa Hotel in Accra.
The two organizations plan to provide a follow up support for the Transfer Pricing Unit of the Ghana Revenue Authority and the Tax Policy Unit within the Ministry of Finance to effectively implement recommendations made in the research.
The launch is expected to be attended by key industry stakeholders, economic experts, ministries and institutions in the extractive sector and civil society organizations including Penplusbytes, the Africa Centre for Energy Policy and the Institute of Fiscal Studies.
By: Jacqueline Parditey -www.reportingoilandgas.com