Challenges and needs

The technical complexity of tariff schemes and the high volume of transactions processed by national telecommunication operators present significant challenges for tax authorities. Despite efforts to implement robust reporting mechanisms, authorities struggle to verify the accuracy of declarations submitted by these operators, leading to a vulnerability in tax collection systems. This vulnerability not only exposes tax authorities to potential revenue losses due to underreporting or misrepresentation of revenues but also creates opportunities for fraudulent behavior, including tax evasion and revenue manipulation. Addressing these challenges requires collaboration between tax authorities and telecommunication regulators to enhance transparency and compliance within the industry, thus safeguarding tax revenue integrity and preventing illicit activities.