DEDUCTIBILITY UNDER CAMEROON’S TAX LAWS: ENSURING HEALTH AND RESILIENCE ECONOMY DURING AND POST COVID -19

Abstract

This article studies the efficiency effects of granting deductions for business expenses. It is shown that much depends on whether the expenses are required for increasing taxable income. Businesses are permitted to reduce taxable income by certain necessary and ordinary business expenditure. However, the COVID-19 crisis has exposed the vulnerabilities of individuals, societies and economies, calling for a rethink of how economic and social activities are organised. built around such principles can help reshaping the post-crisis economies and societies through fiscal responses; specifically, business tax deductions. The reading of books, articles and website consultation reveal that the objectives for tax deductions reforms are not attained due to the fact that some business tax deduction measures may be particularly vulnerable to fraud. Also, there may be possible loopholes created as a result of the speed of decision-making and policy implementation in response to the covid-19 crisis. This may lead to tax avoidance. The article suggests amongst others, solutions measures. to ensure there are no loopholes; and enhancing cooperation especially amongst the CEMAC Sub-region amendments to existing laws or passing new laws, The implementation of this recommendations will help produce the desired objective of business tax deductions during the pandemic.