Title: Towards the end of the tax conventions between France and Mali and Niger
Introduction :
In a joint press release, the transitional governments of Mali and Niger announced their intention to end the tax conventions signed with France. The move follows a series of tensions between the countries, highlighting concerns over balance and revenue shortfalls for both nations. In this article, we will explore the reasons behind this decision and the potential implications for affected individuals and businesses.
Disadvantageous tax treaties:
Tax treaties between countries are essential to govern income and inheritance tax rules, and facilitate cooperation between tax administrations. However, these agreements between France, Mali and Niger were considered unbalanced by the transitional governments. They believe that these conventions have led to significant shortfalls in revenue for their respective countries, while benefiting France more.
A political and economic decision:
Beyond the financial aspects, this decision expresses a clear political position on the part of Mali and Niger towards France. Distrust of the former colonial power has reached a particularly high level, leading to a questioning of past commitments. Furthermore, this decision is part of a context of rapprochement between the countries of the Alliance of Sahel States, with Mali and Niger following in the footsteps of Burkina Faso by leaving the G5 Sahel.
Implications for individuals and businesses:
The end of these tax conventions will have significant repercussions for individuals and companies established in France and carrying out activities in Mali or Niger, and vice versa. French workers in Niger, as well as Malians residing in France, could face major tax changes. In addition, companies operating in these countries will have to review their strategy and adapt to the new tax reality.
Regional economic issues:
This decision taken by Mali and Niger also raises broader questions about the economic dynamics of the region. Questioning tax conventions with France could encourage these countries to look for other economic partners, particularly in Africa or elsewhere. This could have consequences for the regional economy and political stability.
Conclusion :
The decision of Mali and Niger to end tax treaties with France is a strong political gesture which highlights concerns about the balance and the shortfall for these countries. This decision will have a significant impact on affected individuals and businesses, while reflecting the economic and political realities of the region.. It remains to be seen how this will affect relations between these countries and France, as well as longer-term regional economic dynamics.