{"id":56549,"date":"2021-04-15T11:20:32","date_gmt":"2021-04-15T10:20:32","guid":{"rendered":"https:\/\/www.taxresearch.org.uk\/Blog\/?p=56549"},"modified":"2021-04-15T11:20:32","modified_gmt":"2021-04-15T10:20:32","slug":"defending-real-public-country-by-country-reporting-in-trialogue-negotiations-letter-from-79-csos-and-trade-unions","status":"publish","type":"post","link":"https:\/\/www.taxresearch.org.uk\/Blog\/2021\/04\/15\/defending-real-public-country-by-country-reporting-in-trialogue-negotiations-letter-from-79-csos-and-trade-unions\/","title":{"rendered":"Defending real public country by country reporting in trialogue negotiations: Letter from 79 CSOs and trade unions"},"content":{"rendered":"

The Corporate Accountability Network<\/a>, which I direct and which is taking up more and more of my working time, was one of the 79 signatories to a letter on the above issue sent to the MEPs leading negotiation on this issue right now. The EU has now agreed to have public country-by-country reporting, but there are still arguments being put forward to severely restrict its scope, and so undermine its usefulness. We hope that the European Parliament will resist these demands.<\/p>\n

\"\"<\/p>\n

The letter was as follows:<\/p>\n

Dear Ms Regner and Mr Garcia del Blanco,<\/p>\n

(In copy:\u00a0Ms Tinagli, Mr V\u00c3\u00a1zques L\u00c3\u00a1zara, Ms Pietik\u00c3\u00a4inen, Mr Posp\u00c3\u00ad\u00c5\u00a1il, Mr S\u00c3\u00a9journ\u00c3\u00a9, Ms Laporte, Mr Urtasun, Ms Hautala, Mr Stancanelli, Ms Aubry,)<\/p>\n

Please find attached a letter signed by 79 civil society organisations, trade unions and networks from across Europe and all regions of the world expressing our support for the European Parliament's defence of meaningful transparency and urging you to stand firm.<\/p>\n

The socio-economic crisis caused by the Covid-19 pandemic has made the fight against large-scale corporate tax avoidance even more vital and urgent. Effective measures to combat this problem, which costs our societies billions of Euros in lost tax income every year, are an essential step on the road to a sustainable recovery. Public CBCR can be a strong tool against corporate tax avoidance, but only if corporations are obliged to disclose information on a country-by-country basis for all countries of operation. Any limitations to the geographic scope and disaggregation of reporting fundamentally undermines the objective and effectiveness of this important corporate transparency proposal.<\/p>\n

We have welcomed and supported the European Parliament\u2019s position in favour of rules that oblige large multinationals to report on activities in all countries of operation and\u00a0we urge you to persist in demanding full public CBCR in trialogue negotiations<\/strong>. We will continue to support the fight for meaningful public CBCR and\u00a0we call on you to maintain the Parliament\u2019s position on disaggregation and insist on a Directive that requires disclosure for all countries of operation on a country by country basis.\u00a0<\/strong>This element of negotiations will decide if the EU delivers real and effective transparency, or a Directive that is public country by country reporting by name but not in practice.<\/p>\n

Therefore, we have raised strong concerns about the proposal put forward by the European Commission and supported by the Council of EU Member States, that would limit companies\u2019 disclosure to activities in the EU and non-cooperative jurisdictions. Such limited reporting would fail to deliver transparency and would provide an incomplete picture of large multinational corporations\u2019 practices, as well as entirely undermining the value of the public CBCR data. This limited approach could provide a perverse incentive for large multinationals to restructure some activities outside the EU to avoid reporting obligations, whereas full public CBCR will concretely contribute towards a fairer playing field for small and medium enterprises. Full public CBCR would also ensure that developing countries can access CBCR data that includes information about large multinationals\u2019 activities in their countries, addressing the unequal access to information secret CBCR data they face through the exchange of information systems[i].<\/p>\n

Full public CBCR is gaining ground and support, and has already proven to be successful. Last year, the world\u2019s largest voluntary sustainability reporting body, the Global Reporting Initiative (GRI), adopted a new standard introducing public CBCR for all reporting companies[ii]. Investors with trillions of euros of assets called on the OECD to align its own standard with the technically superior GRI standard, confirming the importance of this data for wider stakeholders.[iii] At the same time, the EU\u2019s own positive experiences from the existing mandatory public CBCR requirements for the banking sector[iv] have demonstrated the beneficial effects and allayed concerns about the impact of this important transparency measure.<\/p>\n

The EU has previously played an important leadership role in corporate transparency, and such leadership is needed now more than ever. It is time to ensure that multinational corporations report on a country by country basis for all countries where they operate, and that loopholes which allow corporations to delay or avoid reporting are not introduced into the proposal.<\/p>\n

Yours sincerely,
\nOlivia Lally on behalf of<\/p>\n

11.11.11<\/p>\n

ACLVB-CGSLB<\/p>\n

ActionAid<\/p>\n

ActionAid Ireland<\/p>\n

APIT Portugal<\/p>\n

Asian People\u2019s Movement on Debt and Development (APMDD)<\/p>\n

Attac Austria<\/p>\n

Attac Finland<\/p>\n

Attac France<\/p>\n

Both ENDS<\/p>\n

Broederlijk Delen<\/p>\n

Canadiens our une fiscalit\u00c3\u00a9 equitable \/ Canadians for Tax Fairness<\/p>\n

CCFD-Terre Solidaire<\/p>\n

CNCD-11.11.11<\/p>\n

Centre for Budget and Accountability, India (CBGA)<\/p>\n

Centre for International Corporate Tax Accountability and Research (CICTAR)<\/p>\n

Central Organisation of Finnish Trade Unions SAK<\/p>\n

CGSP AMiO<\/p>\n

Changemaker Finland<\/p>\n

Christian Aid<\/p>\n

Church Action for Tax Justice<\/p>\n

Corporate Accountability Network<\/p>\n

CRASH \u2014 Coalition for Research and Action for Social Justice and Human Dignity, Finland<\/p>\n

DemNet Hungary<\/p>\n

Diakonia<\/p>\n

Eettisen kaupan puolesta ry - Pro Ethical Trade Finland<\/p>\n

Ekvilib Institute<\/p>\n

Eurodad (European Network on Debt and Development)<\/p>\n

European Federation of Public Service Unions (EPSU)<\/p>\n

European Trade Union Confederation \/ Conf\u00c3\u00a9d\u00c3\u00a9ration Europ\u00c3\u00a9enne des Syndicats<\/p>\n

Fair Tax Finland<\/p>\n

Fair Tax Foundation<\/p>\n

Fairtrade Finland<\/p>\n

Feminist Legal Studies Queen's University Canada<\/p>\n

Financial Transparency Coalition<\/p>\n

Finnish Development NGOs \u2014 Fingo<\/p>\n

Finnwatch<\/p>\n

Focus, dru\u00c5\u00a1tvo za sonaraven razvoj \/ Focus Association for Sustainable Development<\/p>\n

FOCSIV Italian Federation Christian international volunteere service<\/p>\n

Foi et Justice Afrique Europe<\/p>\n

Forum for Equitable Development \/ Forum za enakopraven razvoj, dru\u00c5\u00a1tvo<\/p>\n

Forum Gauche Ecologie<\/p>\n

Fundaci\u00c3\u00b3n SES<\/p>\n

Global Policy Forum<\/p>\n

Ihmisoikeusliitto \u2014 Finnish League for\u00a0Human Rights<\/p>\n

International Solidarity Foundation<\/p>\n

KIOS Foundation<\/p>\n

KOO - Co-ordination office of the Austrian Bishops' Conference<\/p>\n

LATINDADD (Red Latinoamericana por Justicia Econ\u00c3\u00b3mica y Social)<\/p>\n

Latvian Platform for Development Cooperation (LAPAS)<\/p>\n

Mellemfolkeligt Samvirke ActionAid Denmark<\/p>\n

Netzwerk Steuergerechtigkeit Deutschland<\/p>\n

One Campaign<\/p>\n

Oxfam Belgique<\/p>\n

Oxfam France<\/p>\n

Oxfam IBIS<\/p>\n

Oxfam Interm\u00c3\u00b3n<\/p>\n

Oxfam International<\/p>\n

Oxfam Ireland<\/p>\n

Oxfam Italia<\/p>\n

Oxfam Novib<\/p>\n

Oxfam Sweden<\/p>\n

Plateforme Paradis Fiscaux et Judiciaires<\/p>\n

Public Services International<\/p>\n

Red de Justicia Fiscal de Am\u00c3\u00a9rica Latina y el Caribe (RJFALC)<\/p>\n

R\u00c3\u00a9seau pour la Justice Fiscale<\/p>\n

Sherpa<\/p>\n

Tax Justice Europe<\/p>\n

Tax Justice Netherlands<\/p>\n

Tax Justice Network Africa<\/p>\n

Tax Justice Network<\/p>\n

Tax Reconciliations \u2014 Oxford, UK<\/p>\n

Transparency International Deutschland<\/p>\n

Transparency International France<\/p>\n

Transparency International EU<\/p>\n

Transparency International Slovenia<\/p>\n

Zavod za pravi\u00c4\u008dno trgovino, 3MUHE<\/p>\n

Vienna Institute for International Cooperation and Dialogue<\/p>\n

WIDE - Network for Women\u00b4s Rights and Feminist Perspectives in Development<\/p>\n

---------<\/p>\n

[i]\u00a0A\u00a0summary of civil society concerns about non-public country by country reporting can be found in\u00a0this submission<\/a>\u00a0to the OECD BEPS Action.<\/p>\n

[ii]\u00a0Global Reporting Initiative, Backing for GRI\u2019s Tax Standard, December 2019,\u00a0https:\/\/www.globalreporting.org\/about-gri\/news-center\/backing-for-gri-s-tax-standard\/<\/a><\/p>\n

[iii]\u00a0[iii] Tax Justice Network, \u2018Investors demand OECD tax transparency\u2019, March 2020,\u00a0https:\/\/www.taxjustice.net\/2020\/03\/19\/investors-demand-oecd-tax-transparency\/<\/a>.<\/p>\n

[iv]\u00a0Directive 2013\/36\/EU on access to the activity of credit institutions and the prudential supervision of credit institutions and investment firms (CRD IV), Article 89.<\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"

The Corporate Accountability Network, which I direct and which is taking up more and more of my working time, was one of the 79 signatories
 Read the full article…<\/em><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[176,64,79,97],"tags":[],"class_list":["post-56549","post","type-post","status-publish","format-standard","hentry","category-corporate-accountability-network","category-corporation-tax","category-country-by-country","category-tax-justice"],"_links":{"self":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts\/56549","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/comments?post=56549"}],"version-history":[{"count":0,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts\/56549\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/media?parent=56549"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/categories?post=56549"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/tags?post=56549"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}