PHOTO CREDITS: Invest in Minnesota/Minnesota Budget Project
By
Paolo de Renzio, Jason Lakin and Fariya Mohiuddin
Domestic revenue mobilization (DRM) is fundamental to governments’ strategies to finance essential development goals. Yet, if taxation is not equitable, intensifying domestic revenue collection can undermine efforts to tackle poverty and inequality. Without a strong grass-roots voice in tax, progressive tax reform may falter. Civic actors are critical stakeholders in building broad support for social bargains in which governments supply citizens with quality services in exchange for tax compliance. The same actors can also provide muscle to help take on powerful interests that oppose redistributive tax policy.
As part of a new Tax Equity Initiative, the International Budget Partnership recently developed several resources to help civic actors get involved with tax reform and learn from each other: