While the developed countries in the Asia-Pacific region face similar conditions to OECD countries, such as Japan, Republic of Korea or Australia, many developing countries from the Asia-Pacific region face rather different challenges due to their different institutional, social, economic and political frameworks. However, one of the main challenges for developing countries is the mobilization of domestic resources, and thus revenue-neutral reform of the tax system is less relevant. Institutional challenges, such as weak governance, limited capacity and inadequate or missing data, also influence the kind of instruments developing countries can implement and enforce.