Ernst & Young: an organisation that sees intellectual credibility, public opinion and economic opportunity slipping away from them

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Right at the close of the Ernst & Young report on country-by-country reporting they disclose some very telling detail. They say this:

Screen shot 2013-05-09 at 09.36.46This is their only reference to Tax Justice Network, but that'snot the point here. The real issue is that this is where another Ernst & Young paranoia is revealed. What is clear is that they now believe that people like Christian Aid and the Tax Justice Network are believed more readily when it comes to tax than Ernst & Young are.

What is more they realise that very soon country-by-country reporting is going to need auditing, and people may not believe Ernst & Young or their credibility when it comes to assessing the truth and fairness of the resulting reports.

APart from the fact that Ernst & Young in the process also reveal that there is very real corporate benefit to country-by-country reporting (something I have long argued) there is also in here a desperate bid to retain part of their audit market that they see might slip away from them.

I have described the Ernst & Young report as 'sorry'. It is. This is a report from an organisation that sees intellectual credibility, popular support, public opinion and economic opportunity all slipping away from them on this issue. No wonder they're worried.