A fundamental aspect involved in tackling illicit financial flows (IFFs) that siphon billions of dollars out of African economies annually is essential in crafting a social contract. TJNA advocates for comprehensive measures to curb IFFs, including enhancing transparency in financial transactions, enforcing stringent anti-money laundering regulations, and promoting international cooperation to prevent tax evasion and avoidance.
Secondly, a just social contract necessitates progressive taxation policies that prioritise the redistribution of wealth and resources to address socioeconomic disparities. TJNA emphasises the need for equitable tax structures that place a heavier burden on the wealthy and corporations while alleviating the tax burden on low-income earners. This involves reforming income tax systems, closing loopholes that benefit the affluent, and implementing wealth and inheritance taxes to ensure a fair distribution of resources and opportunities.
TJNA advocates for citizen participation in decision-making processes related to taxation, ensuring that policies reflect the needs and interests of all stakeholders, especially marginalised communities.
Strengthening tax administrations, enhancing capacity building, and promoting transparency in public finance management are essential for building trust between governments and citizens, reinforcing the social contract and fostering sustainable development across the continent.
