G8 tax agreement 'too easy for global companies to skirt'

By staff writers
18 Jun 2013

The Lough Erne declaration on tax, agreed today (Tuesday 18 June 2013) at the G8 summit, is too easy to get round, a senior trade unionist has warned.

Trades Union Congress (TUC) general secretary Frances O'Grady commented: "For all the Prime Minister's welcome pre-summit rhetoric, the G8 declaration fails to deliver what's needed to tackle tax avoidance, and even falls short of the expectations he's set."

She continued: "While some progress has been made on automatic information exchange, the agreement on reporting profits to tax authorities is so weak it is bordering on irrelevance."

Ms O'Grady added: "Despite the high profile pre-summit lobbying, the British Crown Dependencies appear to have outmanoeuvred the G8 nations and got tax havens out of the agreement altogether."

"We fear the declaration's warm platitudes and hazy rhetoric will be far too easy for global companies to skirt around. Yet another opportunity has been missed to finally get to grips with global tax avoidance and evasion," the TUC leader concluded.

* The TUC's five tax tests are available at: www.tuc.org.uk/economy/tuc-22277-f0.cfm

* The Lourgh Erne G8 declaration is available here (*.PDF Adobe Acrobat document): www.gov.uk/government/uploads/system/uploads/attachment_data/file/207543...

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