2-4 July, Berlin/Germany
Breakout Session 2-D:
Setting new standards in the international tax and development arena: How to strengthen the voice of partner countries?
3 July, 11:30 – 13:00
Background
The objective of improving Domestic Revenue Mobilisation (DRM) has been high on the international development agenda for over a decade. In parallel and jointly, the discourse on increasing cooperation in order to tackle base erosion and profit shifting has evolved and so have initiatives to combat illicit financial flows. Much of the agenda has been driven by the preparation and the follow up of G9 / G8 / G20 Summits. In these platforms, the question of how interests of developing partner countries can be safeguarded and voices can be better heard has been increasingly raised. This notably explained the establishment of the International Tax Compact (ITC) as a neutral platform of interchange.
Recently, and despite recent attempts to broaden participation e.g. through the Inclusive Framework, concerns have been raised about OECD frameworks not addressing enough issues specifically faced by developing countries – such as the allocation of taxing rights in a digitalising economy. Some also argue that EU initiatives – including e.g. the EU list of non-cooperative tax jurisdictions – fail to take enough into account their adverse impact on developing countries. At the same time, the United Nations Tax Committee, while being perceived as more inclusive platform, is often portrayed as lacking the necessary leverage to ensure consequent implementation.
Are the views of developing countries indeed insufficiently represented in international tax fora? What are the representation gaps in existing platforms and how can these be overcome? What are the alternative pathways for (e.g. inter-institutional collaborations, regional partnerships, etc.) partner countries to develop a common perspective and strengthen their voice on the global stage?
The present breakout session aims to take stock of where and through which channels the voices of partner countries are traditionally raised, what is their effectiveness in influencing the international tax and development agenda, and to consider through which other ways the voice of partner countries could be strengthened.
Targeted output
- Experiences with the representation of partner countries in international dialogue fora have been discussed and challenges have been delineated;
- Experiences in developing a common perspective and strengthen the voice of developing countries have been discussed and opportunities for further action identified;
- Steps for how to strengthen the voice of partner countries in the international tax debate and the possible contribution of the Addis Tax Initiative (ATI) to this endeavour have been outlined.
Guiding questions
- What is the existing representation of partner countries in international fora? Are there differences between institutions in the lead, as OECD, UN, IMF and other? How can the representation of partner countries in international fora on taxation be improved?
- What could partner countries expect from engaging more in international discussions such as the OECD Inclusive Framework or the UN Tax Committee of Experts on International Cooperation in Tax Matters?
- What are initiatives from the side of the partner countries aimed at improving their representation? (e.g. through regional tax organisations)? What is the role of development partners? What should be ATIs role in supporting a stronger voice of partner countries?
Moderator
Speakers
- Laura STEFANELLI, Advisor – BEPS and Developing Countries, OECD to present the role of partner countries under OECD processes including e.g. the OECD/G20 Inclusive Framework on BEPS;
- Raphael KAMOTO, Director of Strategic Partnerships, Planning, Monitoring and Evaluation, ATAF, on the role of ATAF as a voice of African countries in international tax debates (including in debates such as taxation of the digital economy; EU blacklists)
Find a summary of the discussion points here.