10 Things OFCs Need to Know About the G20’s New Anti-Tax Haven Agenda

1. More than ever, ensuring that all taxpayers pay their fair share of taxes is a priority for the G20 because of the severe fiscal consolidation and social hardship in many countries.

2. The G20 intends to ensure that neither international nor domestic tax rules allow or encourage multinational enterprises to reduce overall taxes paid by artificially shifting profits to low-tax jurisdictions. 

3. The G20 will take the necessary individual and collective action, with the paradigm of sovereignty taken into consideration, to tackle the 15 issues identified in its Action Plan to combat Base Erosion and Profits Shifting (BEPS).

4. The G20 intends to fully support the OECD in presenting  a new single global standard for automatic exchange of information by February 2014; and finalizing the technical modalities of effective automatic exchange by mid-2014.

5. G20 members expect to begin to exchange information automatically on tax matters by the end of 2015; and also expect that all countries will join the Multilateral Convention on Mutual Administrative Assistance in Tax Matters without further delay.

6. The G20 expects the OECD Global Forum on Transparency and Exchange of Information for Tax Purposes(‘Global Forum’) to draw on the work of the Financial Action Task Force (FATF) with respect to beneficial ownership.

7. The G20 expects the Global Forum to complete the allocation of comprehensive country ratings regarding the effective implementation of information exchange upon request and ensure that the implementation of the standards are monitored on a continuous basis.

8. The G20 expects the Global Forum to establish a mechanism to monitor and review the implementation of the new global standard on automatic exchange of information.

9. The G20 is committed to making automatic exchange of information attainable by all countries, including Low Income Countries, and will seek to provide capacity building support to them.

10. Finally, the G20 will continue to assist developing countries to identify individual country needs; build capacity in the area of tax administration (in addition to automatic exchange of information); and encourage such support to be developing country led.

For full text of 2013 G20 Summit St. Petersburg Declaration including the section Addressing Base Erosion and Profit Shifting, Tackling Tax Avoidance, and Promoting Tax Transparency and Automatic Exchange of Information click Saint_Petersburg_Declaration_ENG

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2 thoughts on “10 Things OFCs Need to Know About the G20’s New Anti-Tax Haven Agenda

  1. Dear Fran:
    Are G-20 and OECD concerned about who are going to pay for the compulsory and free supply of tax information, specially in countries where the supply is going to be unilateral.? Are the taxpayers of unilateral suppliers who are going to pay? Is there going to be a compensation for unilateral suppliers? Do countries dare to raise this concern?

    Like

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