OECD Secretary-General Mathias Cormann welcomed today’s ground-breaking agreement by G7 Finance Ministers on key elements of international tax reform designed to address the tax challenges of the digitalisation and the globalisation of the economy.
The OECD has been leading international talks to address the tax challenges arising from the digitalisation of the economy, and is aiming towards a landmark agreement on new tax rules in 2021. Grace Perez-Navarro, Deputy Director of the OECD Centre for Tax Policy and Administration, explains the issues.
The world cannot afford to let the status quo go unaddressed. The Inclusive Framework on BEPS is ideally placed to deliver a global solution given your expertise and the good progress that has been made.
While COVID-19 does not discriminate between rich and poor, developing countries have been among those hardest hit. Domestic resources – the main source of financing for developing countries – have been put under immense strain.
We meet at an extremely challenging time. The COVID-19 pandemic has created a global health and economic crisis, as well as a crisis of confidence. The disruptions it has caused have forced delays in policy implementation, increased pressure on national budgets, and raised uncertainty about the future.
The call for a coordinated, sizeable, well-targeted collective response to the crisis is being operationalised in the G20 Action Plan, a living document that we are endorsing today. The OECD is proud to have contributed to its development under Saudi leadership.
A year ago, in Punta Del Este (Uruguay) Latin American ministers met to discuss how to strengthen regional efforts to combat tax fraud and corruption. This meeting concluded with the signing of the Punta Del Este Declaration.
For the past decade, the OECD and the Global Forum have been leading the fight against tax evasion and illicit financial flows by encouraging countries to agree to higher standards on transparency and exchange of tax information.
I am glad to report progress in addressing the tax challenges of digitalisation. It is now time to finish the job, keeping in mind that when the G20 works collectively on tax issues it delivers big.
I am honoured to be here alongside Mr. Achim Steiner, Administrator of the United Nations Development Programme (UNDP), to welcome you to today’s event celebrating this important and innovative joint initiative, Tax Inspectors Without Borders (TIWB).