The OECD, IMF, UN and World Bank present a platform to avoid fiscal avoidance in developing countries

The Organization for Economic Cooperation and Development (OECD), the International Monetary Fund (IMF), the United Nations (UN) and the World Bank, announced on April 19th their collaboration platform regarding tax matters. This platform seeks to formalize regular discussions between the four organisms regarding the design and implementation of fiscal standards; with this they are looking to strengthen the support, orientation and exchange of information on their activities.

This platform presents tools to developing countries, through which they can act on multinational enterprises that use transfer pricing as a way to decrease their fiscal burden in those countries. According to the UN billions of dollars are lost by tax authorities due to fiscal planning. This announcement comes almost at the same time that the denominated “Panama papers” were filtered, this documents present information about shell companies based on tax havens.

This new platform only formalized the plans that this international organisms were discussing in the past. The first set of tools was delivered on November 25th 2015 and frequent meetings were held before the publication of the platform.

The current events and media pressure have put more pressure on the local tax authorities and international organisms to review possible tax evasion trough sophisticated means by multinationals.

Through a declaration given on April 19th it was stated “the platform members will have regular meetings with developing countries representatives, regional fiscal authorities, banks and donors, consultations with the private sector and the civil society will be held when needed”

The main point of this platform is to provide toolkits designed with developing countries in mind, that will help in the implementation of actions developed by the BEPS (Base Erosion and Profit Shifting) project created in conjunction by the OECD and the G20, as well as other international tax issues.

Even though a firs toolkit was delivered on November 2015, the international organisms plan to finish delivering the toolkits by March 2018.

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