A recent study by the Association of Business Executive in Cameroon reveals that its companies also help boost the state budget by 40%. According to a study by the GICAM Business Environment Improvement Commission, carried out from March 5 to May 29, 2020, the Inter-employer Group of Cameroon is the largest contributor to the state budget.
This body contributes 40% to it, thanks to the tax revenue collected from its companies, which contribute 70% to the State’s tax revenue, reports this study released on Monday, October 5, 2020.
It is undeniable that GICAM weighs a remarkable weight in the Cameroonian economy. “The GICAM companies together have more than 220,000 permanent employees and a payroll of nearly 1,100 billion FCFA. In 2019, GICAM companies achieved a cumulative turnover of nearly 9.900 billion FCFA representing 77% of the turnover of modern companies and nearly 65% of the turnover of companies and establishments such as defined and listed during the second General Business Census (RGE-2) ”, we learn.
However, companies remain plagued by obstacles that prevent their full growth and impact the business climate. They are twofold: insecurity in the North West and South West regions affects 88% of businesses; taxation characterized by the instability of the tax system and the reasons for tax adjustments, tax penalties and fines, the tax rate, and the multiplicity of controls by the tax administration.
The study reveals that more than 80% of tax disputes between GICAM member companies and the tax administration are related to tax adjustment. The study made it possible to update the weight of GICAM in the economy, to establish the 2019 barometer of Cameroonian companies, to determine the key factors of the business climate, to assess the cash position of companies, among others. .
