ATAF Undertakes High-Net-Worth Individuals Taxation Study in Algeria

The African Tax Administration Forum (ATAF) has launched a technical mission to Algeria under its High-Net-Worth Individuals (HNWI) Taxation Project. The mission, led by ATAF’s Applied Research and Statistics team, began on 27 April and will run through to 9 May 2025.

This initiative forms part of a broader regional study aimed at supporting African tax administrations in assessing the legal and administrative feasibility of strengthening compliance among individuals with substantial assets. The goal is to promote fairness and efficiency in the taxation of wealth, without necessarily introducing new taxes.

During the initial phase of the mission, ATAF held an inception meeting with senior officials from the Algerian Tax Administration (DGI-Algeria), including the Head of the Tax Administration. Discussions centred on Algeria’s existing wealth tax regime and the practical challenges involved in taxing property ownership particularly when assets are inherited or do not yield liquid income.

In response, DGI-Algeria has requested ATAF to conduct a detailed technical review of the current wealth tax system. This review will focus on evaluating the equity and administrative efficiency of the regime, offering data-driven recommendations to enhance its effectiveness.

Importantly, ATAF’s role in this project is advisory and analytical. The team will not propose the introduction of new taxes but will instead provide insight into how existing systems can be refined to better meet national revenue objectives while promoting equity.

Algeria’s participation forms part of a wider regional project that includes ongoing work in Zimbabwe, Kenya, Tanzania, South Africa, Eswatini, Uganda, and Zambia. Togo and Ghana are also expected to join the initiative in the near future.