Fiscal Management & Resource Mobilization

Research IdeasPort-au-Prince

April 2016

Working with 30-50 economists including Nobel Laureates, 100+ sector experts, government, donor organizations, civil society, development agencies, businesses, youth, across rural and urban areas to identify, analyze and prioritize interventions that will deliver greater benefit per gourde spent, helping move Haiti towards a more prosperous long term future.

Copenhagen Consensus Center organized roundtable discussions

with an aim to figure out smarter solutions to the most problematic

issues facing Haiti.

These roundtables are one of several sources

for research ideas.

Research Ideas

Widening the tax base;(1 of 3)

• Establish an ongoing professional development program in collaboration with the OMRH to train 1) DGI employees and ministerial managers on tax policy and taxation, leadership, management and IT; 2) mayors on management of public revenue and accounting); and 3) newly elected representatives.

• Update laws on tax rights.• Set up a computer system to collect data in order to

reduce duplication of data.• Align the relationship between MEF and municipal

councils.• Establish “user fees” for water, waste and electricity.

Widening the tax base; (2 of 3)

• Eliminate the customs/tax exemptions; limit the power to grant exemptions to the MEF.

• EDH: Eliminate government subsidies; Install meters in every house; improve the billing.

• Create independent, internal audit departments within each ministry.

• Eliminate tax exemptions to the private sector.• Conduct a census so that DGI have a more accurate

estimate of the tax collection potential.• Public awareness campaign on paying taxes to increase

voluntary compliance.• Establish standards for companies.

Widening the tax base; (3 of 3)

• Establish concrete and annual targets for the DGI.• Make an inventory of properties in each municipality.• Eliminate exemptions for donors.• Establish a billing system at the municipal level.• Improve customer relations at DGI and make the tax

payment system more “user-friendly”.• Formalize the informal sector. • Widen the tax base by providing technical training in high

demand fields. This also reduces “informal” sector jobs.• Strengthen the capacity of the DGI : digitize all DGI

offices and equip all tax inspectors.

Tax evasion; (1 of 2)

• Implement punitive laws.• Establish incentives to increase voluntary compliance.• Raise awareness for voluntary compliance and punitive

measures for tax evasion and fraud.• Encourage participatory budgeting at the municipal

level.• Regulate the state officials, especially those working in

the tax department.• Encourage auditors to do their job: Provide training;

increase their remuneration.• Ensure the physical security of taxpayers.

Tax evasion; (2 of 2)

• To increase voluntary compliance : Choose an industry, offer a seminar for 200 persons; conduct an audit of 20 businesses; penalize the perpetrators; disseminate results throughout media channels.

Fiscal policy as an instrument for reducing socioeconomic inequalities; (1 of 1)

• Maintain the tax on petroleum products.• Reduce the budget allocation to Parliament.• Require administrative account at the municipal level.• Strengthen the capacity of the CSCCA and change its

role so that it can review contracts and undertake audits.

• Carry out an audit of SONAPI.• Establish a system for monitoring and evaluating action

plans.• Stop the practice of having off-budget budget.

For more information www.HaitiPriorise.com