Amendment No. 2 to the Administration Arrangement between the United Kingdom of Great Britain and Northern Ireland, acting through the Department for International Development, and the International Bank for Reconstruction and Development and the International Development Association regarding the Global Tax Program Multi-Donor Trust Fund (Trust Fund No. 072864) 1. Reference is made to the Administration Arrangement between the United Kingdom of Great Britain and Northern Ireland, acting through the Department for International Development (the “Donor”) and the International Bank for Reconstruction and Development and the International Development Association (collectively, the “Bank” and together with the Donor, the “Participants” and each a “Participant”) regarding the Global Tax Program Multi-donor Trust Fund No. 072864 effective as of November 15, 2017, as amended (the “Administration Arrangement”). 2. The Participants mutually decided to amend the Administration Arrangement as follows: (a) The “Bank Contact” and the “Donor Contact” in paragraph 6 will be deleted and replaced with the following: “For the Bank (the “Bank Contact”): Ana Cebreiro Gomez Senior Economist Macroeconomics, Trade and Investment Global Practice The World Bank 1818 H Street NW, Washington DC, 20433, USA Tel: +1 (202) 473 3623 E-mail: acebreiro@worldbank.org For the Donor (the “Donor Contact”): Felicity Rose Senior Responsible Officer Public Finance and Tax Department Abercrombie House Eaglesham Road East Kilbride G75 8EA Tel: 0044 7469 122009 E-mail: Felicity-rose@dfid.gov.uk” (b) Paragraph 1 of Annex 1 (Global Tax Program Multi-Donor Trust Fund Description) will be deleted and replaced with the following: “1. Objectives The objective of the Trust Fund is to support developing countries in the design and implementation of balanced and efficient expenditure and revenue policies that will contribute to achieving sustainable and inclusive growth.” 1 (c) Paragraph 2.1 of Annex 1 (Global Tax Program Multi-Donor Trust Fund Description) will be amended to: (A) include new sub-paragraphs (k), (l), (m), (n) and (o) immediately after sub- paragraph (j), and (B) renumber the existing sub-paragraphs (k) and (l) to sub-paragraphs (p) and (q) respectively, as follows: “2.1 Bank-executed activities, for which the Bank has implementation responsibility: (a) developing a tax policy assessment framework and utilizing said framework to assess tax policies in developing countries; (b) expanding the scope of the tax administration diagnostic assessment tool through the development of additional diagnostic modules, and utilizing this tool to assess tax administration in developing countries; (c) developing toolkits to provide guidance on international tax issues, including on base erosion and profit shifting; (d) supporting the design of equitable, transparent, and effective tax systems through: (i) development of administrative micro-datasets and global frameworks for access to revenue data; and (ii) production of analytical reports based on policy-relevant evidence; (e) providing technical advice to inform the design and implementation of tax simplification policies for micro, small, and medium scale enterprises; (f) supporting the design, transparency and administration of tax incentives through: (i) development of an inventory of tax incentives; (ii) capacity building in undertaking cost-benefit analysis of tax incentives and analyzing distortions on investment decisions; and (iii) provision of technical advice to improve tax incentives frameworks; (g) providing technical advice on addressing base erosion and limitations to domestic resource mobilization; (h) providing technical advice on improving tax transparency as a means to strengthen tax administration and to identify tax avoidance and evasion; (i) providing technical advice to inform the design and administration of value-added tax regimes; (j) providing technical advice to inform the design and implementation of sector-specific instruments; (k) providing technical advice on re-prioritization of expenditures to protect key public services and address social and economic impacts of the coronavirus disease (COVID-19) pandemic and restarting economic growth in the post crisis period; (l) providing technical advice to inform the design of specific fiscal measures to strengthen health services; (m) providing technical advice to inform the design of government sponsored lending programs, investments and loan guarantees to save strategically important businesses and jobs; 2 (n) providing technical advice on mechanisms for managing and reporting fiscal risks arising from extra-budgetary activities to address COVID-19; (o) developing knowledge material of policy notes on fiscal policy measures related to COVID-19 based on international experience and good practices; (p) program management and administration activities for the Trust Fund, including but not limited to, supporting any program governance arrangements and Trust Fund related meetings; planning and executing work plans and budgets; managing communications and conducting outreach; disseminating lessons learned; reporting on progress; and monitoring and evaluating the program; and (q) providing implementation support to Recipient-executed activities.” (d) Paragraph 4.1 of Annex 2 (Standard Provisions) will be deleted and replaced with the following: “4.1. The Bank shall provide the Donors with annual written progress reports by September 30. The progress reports shall be provided with reference to the results framework agreed by the Bank and the Donors, as such Results Framework may be reviewed by the Parties from time to time. Within six (6) months of the End Disbursement Date (as defined below), the Bank shall provide to the Donors with a final narrative progress report for the Trust Fund.” (e) Paragraph 5.1 of Annex 2 (Standard Provisions) will be deleted and replaced with the following: “5.1. It is expected that the funds deposited in the Trust Fund will be fully disbursed by the Bank by July 31, 2024 (the “End Disbursement Date”). The Bank shall only disburse funds deposited in the Trust Fund for the purposes of this Administration Agreement (other than returns to Donors) after such date to the extent such date is changed in accordance with amendments made to the Administration Agreements of all the Donors. Following the End Disbursement Date, the Bank shall return any remaining balance of the Trust Fund to each Donor in the Holding Currency in the manner specified in its respective Administration Agreement on a pro rata basis with regard to the total funds deposited in the Trust Fund by such Donor relative to the total funds deposited in the Trust Fund by all Donors, all calculated as Holding Currency amounts.” 3. All other terms of the Administration Arrangement will remain the same. [remainder of page intentionally left blank] 3 4. Each of the Participants represents, by confirming its acceptance below, that it is authorized to enter into this Amendment and act in accordance with its provisions. The Bank and the Donor are each requested to sign and date this Amendment, and upon possession by the Bank of this fully signed Amendment and respective amendments signed by all other donors to the Trust Fund, this Amendment will come into effect as of the date of the last signature. INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT INTERNATIONAL DEVELOPMENT ASSOCIATION By: ____________________________________/s1/ /n1/ Marcello Estevao Name: ____________________________________/n1/ Global Director Title: ____________________________________/t1//t1/ 20-Jul-2020 Date: ____________________________________/d1/ UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND, acting through the DEPARTMENT FOR INTERNATIONAL DEVELOPMENT By: ______________________________/s2/ /n2/ Samrita Sidhu Name: _______________________________/n2/ Head of Public Finance and Tax Department, DFID Title: _______________________________ /t2/ 03-Aug-2020 Date: _______________________________/d2/ 4