"luxury goods or services"
greaterthan one;
means goods or services with an income elasticity of
"mutual assistance" means any arrangements made between two or more countries or
jurisdictions to resolve difficulties with regard to taxation;
"SADC Tax Database" means a tax database into which Member States will deposit
information on tax on a continuous basis;
"sales tax" means a tax imposed as a percentage of the price of goods or services and
which is borne by the buyer but the liability for rendering payment of the tax to the
authorities is placed on the supplier of the goods or services;
"tax" means a compulsory unrequited financial contribution imposed by a government or
ju risdiction;
"tax incentives" means fiscal measures that are used to attract local or foreign
investment capital to certain economic activities or particular areas in a country;
"tax sparing
arrangement"
means an arrangement whereby the government of
residence of an international investor recognises tax incentives granted by a host country
for the purposes of attracting investments and providing relief for income tax under its
domestic laws, as if normal tax had been imposed in the host country;
"tax treaty" means any bilateral or multilateral treaty concluded by the Member States
between or amongst themselves or with countries outside the Community for the
avoidance of double taxation and prevention of fiscal evasion with respect to taxes on
income and capital gains;
"Value Added Tax (VAT)" means a tax, imposed on goods or services, which is levied at
each stage in the production and distribution process and is borne by the final consumer
but the liability for rendering payment of the VAT to the authorities is placed upon the
supplier of goods or services.
ARTICLE 2
SADC TAX DATABASE
1.
Member States accept that it is in the interest of the Community to have in place a
comprehensive database, which is publicly accessible.
2.
Member States will take such steps as are necessary to develop the SADC Tax
Database and to provide the Secretariat with such information as is required to
devise, introduce and maintain the SADC Tax Database.
3.
The SADC Tax Database will, for each Member State, include details of:
4