Taxation plays a vital role in promoting the Sustainable Development Goals (SDGs) as it generates revenues for funding new and essential policies and programmes and can direct consumption and production towards socially and environmentally sustainable activities.

Economic growth and tax revenue generation are intricately linked and affected by tax avoidance and evasion, policy responsiveness, and informal sector shifts. More effort should be put into promoting effective and efficient taxation through international tax co-operation to drive economic, social, and environmental growth, particularly in developing countries.

This policy brief underscores the pivotal role of taxation in the context of the SDGs and the 2030 Agenda. It assesses current mechanisms, contextualizes the conversation within the present national and global challenges and presents tangible recommendations. It explores how countries can harness tax policies to mobilize resources for SDG investments and the supportive mechanisms and framework for aligning taxation with the SDGs.