In a collaborative announcement issued on Tuesday, November 5, 2023, the military administrations of Mali and Niger declared their decision to repudiate their dual taxation accords with France, marking a progression in the attenuation of affiliations with Paris and a concurrent fortification of their interrelations.
According to the statement, the administrations of the two Sahelian nations referenced “France’s persistent hostile attitude against our States” and “the unbalanced nature of these agreements, which cause a considerable loss of revenue for Mali and Niger.”
The aforementioned agreements are slated to lapse “within three months.”
Military governments in Niger and Mali have together announced they will revoke tax treaties with France – cite “France’s persistent hostile attitude” and the “unbalanced nature” of these conventions which constitute, “a considerable loss of revenue for Mali and Niger. ” pic.twitter.com/6L6fTQyZw0
— Samira Sawlani (@samirasawlani) December 6, 2023
The immediate ramifications of these repudiations remain uncertain.
As per information available on the website of the French tax authorities, France has maintained conventions with Mali and Niger since 1972 and 1965, respectively. These conventions aim to “tend to avoid” double taxation and establish rules for reciprocal assistance in tax matters.
Encompassing personal and corporate income tax, inheritance tax, and registration duties, these agreements have been a longstanding facet of the fiscal relationship between the parties involved.
The recent denunciation represents the latest development in the deterioration of diplomatic ties between Mali and Niger and France. This trend has been unfolding since the military assumed control in Bamako in 2020 and Niamey in 2023. Notably, Burkina Faso, another Sahelian nation where a military takeover occurred in 2022, had previously denounced its tax treaty with France several months ago.
Burkina Faso, Mali, Niger Seek Confederation. It Would Be the Only One in The World. The Soldier Rulers Are Upsetting the African Political Apple Cart
Burkina Faso, Mali and Niger should look to form a confederation, a meeting of the 3 countries’ Foreign Ministers meeting… pic.twitter.com/lEGgnwMjLD
— Charles Onyango-Obbo (@cobbo3) December 2, 2023
Confronting challenges posed by jihadism and shared concerns, the three nations joined forces this year, with their foreign ministers recently advocating for the establishment of a confederation.
Ref: AFP