1. EXTRACTIVE INDUSTRIES TAXATION
MASTER CLASS WORKSHOP
NAIROBI, 1 DECEMBER 2017

2. Context Falling Prices
More supplies/less demand
More alternative energy sources
Reduced fiscal revenues
Uncertainty
Lower appetite by investor for risk due to capital constraints and market uncertainties.
Changing wider fiscal climate: BEPS and Transfer pricing

3. TAXATION OF EXTRACTIVE INDUSTRIES TODAY: - OVERVIEW OF fiscal TRENDS
Fiscal Policy Balance:
Maximise revenue collection versus Grow the Industry by encouraging risk.
Competitive fiscal regimes (competing against other fiscal regimes – more oil producers, more alternative sources, energy efficiency).
Transparency and anti-avoidance
Taxpayer (records, transfer pricing, BEPS)
Tax authority (audits, disputes resolution)
Stability
Fiscal regime
Contracts and concession
Administration: Expertise and Efficiency

4. CHALLENGES Ensuring governments get their fair share
Multiplicity of taxes
Simplicity
Transfer Pricing
Good working relationships between taxpayer and tax authority
Expertise/capacity building