Four int'l organizations intensify cooperation to fight tax evasion

Four of the world's largest multilateral organizations said on Tuesday that they would intensify cooperation on tax issues via a newly-created vehicle Platform for Collaboration on Tax.

The International Monetary Fund (IMF), World Bank, United Nations and the Organisation for Economic Co-operation and Development (OECD), announced the joint platform to help developing countries fight tax evasion.

"This effort comes at a time of great momentum around international tax issues," said the group in a statement. "A major aim of the Platform is to better frame technical advice to developing countries as they seek both more capacity support and greater influence in designing international rules."

The statement said the effort was also welcomed by the Group of 20 (G20) finance ministers at their February meeting in Shanghai.

The G20 top economies last week agreed to take a step forward to curb tax evasion and money laundering.

They called on relevant countries, including all financial centers and jurisdictions, to commit to implementing the standard on automatic exchange of information by 2017 or 2018.

According to their communique, G20 members will consider "defensive measures" against non-cooperative jurisdictions with respect to tax transparency and work with the OECD to establish objective criteria by its July meeting to identify non-cooperative jurisdictions.

The Platform announced Tuesday will develop appropriate tools for developing countries in the taxation of multinational enterprises, and encourage the establishment of information exchange mechanisms to tackle tax evasion and avoidance.

It will also help developing countries build effective tax systems by providing them support, advice, training and technical assistance. Endit