Tax status reporting is the second of two financial reports (the first being the financial section of the Progress Update/Disbursement Request (PU/DR)) that must be submitted to the Global Fund on an annual basis.

The Global Fund requires a mandatory tax exemption in countries where it supports programmes, so that expenditures within grants are made free of any country taxes or tariffs. All grant agreements include a mandatory tax exemption provision. If taxes are levied or paid, host countries are required to refund such tax amounts. In this regard, the Global Fund requires annual tax reporting by Principal Recipients (PRs) and provides a reporting template to be completed and submitted by Country Offices (COs) within the prescribed deadline.

The template captures total grant expenditure, total taxes paid, and total taxes recovered by PR and SR. Additional information, including additional recoveries expected, is also required.

Although the Tax Status Form is submitted on an annual basis, the report is also included in the quarterly financial report to the Global Fund. For detailed instructions, please refer to the Quarterly Financial Reporting Template and the Global Fund Guidelines for the Quarterly Financial Reporting for guidance on tax reporting.

For more information on annual financial reporting, please refer to the financial management section of the Manual.