UNITED NATIONS HANDBOOK ON SELECTED ISSUES FOR TAXATION OF THE EXTRACTIVE INDUSTRIES BY DEVELOPING COUNTRIES
The purpose of this chapter is to give an overview of some of the taxation issues for extractive industries in developing countries and the interactions between them, options available, and the likely effect of choosing such options in particular circumstances. This is intended to assist policy makers and administrators in developing countries as well as to provide information to other stakeholders. Background contained in this chapter will provide a broader context for viewing the overall issue of natural resource development and the specific issues addressed in more detail in additional chapters. The work covered by this and each of the additional specific-issue chapters stems from a mandate given by the United Nations Tax Committee to the Subcommittee on Extractives Industries Taxation Issues for Developing Countries to consider, report on and propose guidance on extractive industries taxation issues for developing countries, focusing on the most pressing issues where guidance from the Committee may most usefully assist developing countries. The work will seek to provide policy and administrative guidance at a very practical level. This chapter is intended to broadly identify issues of taxation of the extractive industries; address several of the most significant ones in short form; help build awareness; and, ultimately, along with the additional specific-issue chapters, assist those faced with these issues to make policy and administrative decisions in relation to them.