The gap between where companies pay tax and where they really do their business is huge, as shown by new research described in this briefing.
G20 finance ministers in Lima today endorsed international tax reforms for tackling tax dodging launched by the Organization for Economic Cooperation and Development (OECD). While the measures are a tax milestone, they poorly represent the critical needs of developing countries, Oxfam warned today.
Africa was cheated out of US$11 billion in 2010 through just one of the tricks used by multinational companies to reduce tax bills, according to new Oxfam report, ‘Africa: Rising for the few,’ released today.
More developing countries are set to become involved in reforming the global tax system in an effort to ensure that multinational corporations are taxed where their real economic activities take place.
The gap between the rich and the rest is extreme and growing. G20 nations are not immune.
The G20 must take necessary steps to reform the international taxation system to stop wealthy tax dodgers, beginning at its Finance Ministers and Central Bank Governors meeting this weekend (22-23 Feb) in Sydney.