Commissioner for Economic and Financial Affairs, Taxation and Customs Union, Pierre Moscovici is co-signing today a €2 million grant contract with OECD partners today on the 26 November 2019, in support of developing countries’ efforts to meet global standards in tax transparency and information exchange. The signing takes place in the margins of the 10th Anniversary Meeting of the Global Forum in Paris.
The grant, provided for by the financial decision Collect more – spend better: EU support to developing countries in the area of domestic revenue mobilisation and domestic public finance, aims to support the Global Forum in providing quality technical assistance to developing countries in implementing international standards on Exchange of Information on Request (EOIR) and Automatic Exchange of Information (AEOI). The technical assistance provided by the Global Forum to developing countries will play an important part in efforts to fight tax evasion and avoidance and generate revenues that are needed to achieve the Sustainable Development Goals.
Developing countries are disproportionately affected by tax evasion and avoidance. Today’s grant adds to significant technical and financial support that the EU gives to support partners in meeting tax good governance standards. Earlier this month Member States agreed to give €5 million to work with the African Union in the fight against illicit financial flows, while €1 million has been provided to the OECD in support of the Base Erosion and Profit Shifting (BEPS) programme.
The progress achieved by the Global Forum on Transparency and Exchange of Information for Tax Purposes so far is significant: In 2018 alone, information was exchanged on more than 47 million financial accounts worth a total of €4.9 trillion while voluntary disclosure programmes generated over €95 billion in additional revenue.