This topic records the taxes and mandatory contributions that a medium-size company must pay or withhold in a given year, as well as measures the administrative burden in paying taxes and contributions. In Doing Business 2017, the indicator’s methodology was expanded to include a new measure of complying with postfiling procedures. The most recent round of data collection for the project was completed on June 1, 2016 covering for the Paying Taxes indicator calendar year 2015 (January 1, 2015 – December 31, 2015).
This year the scope of data collection has been expanded to better understand the overall tax environment in an economy. The questionnaire was expanded to include new questions on three post-filing processes: VAT refund, tax audit and administrative tax appeal. The data shows where postfiling processes and practices work efficiently and what drives the differences in the overall tax compliance cost across economies. The data on the structure of a first level administrative appeal process is not included in the distance to frontier score of paying taxes.
The new section covers both the legal framework and the administrative burden on businesses to comply with postfiling processes. See the methodology for more information.