Despite economic growth and the reduction of both poverty and inequality that Latin America and the Caribbean (LAC) has experienced during the last decade, it still remains the most unequal region in the world.Tax collection in Latin America and the Caribbean is low in relation to its potential and does not reflect the huge social needs in the region. Public finances reflect an inequitable social and economic model, which perpetuates power concentration and discrimination, and are undermined by high rates of tax evasion and avoidance. Courageous reforms are urgently needed in order to achieve fiscal policies to help reduce entrenched inequalities in the region.