The G20 on Saturday fully endorsed an action plan set out by the OECD to clamp down on tax avoidance which its creators say could lead to the biggest change in the global tax system since the 1920s.
The Organisation for Economic Cooperation and Development (OECD) presented G20 finance ministers and central bank chiefs with the plan at their meeting in Moscow, aiming to stop big multinationals using theoretically legal schemes to pay as little tax as possible.
The issue has gathered importance at a time of economic difficulty, with governments keen to use every means to rake in as much cash into depleted budgets as they can.
The OECD plan aims at creating a broad super-national system of regulation that will remove the incentive for companies to use practises like registering in a third country to pay a minimum of tax and other schemes.
"We fully endorse the ambitious and comprehensive Action Plan submitted at the request of the G20 by the OECD," the G20 said in its final statement.
"Ensuring that all taxpayers pay their fair share of taxes is a high priority in the context of fiscal sustainability, promoting growth, and the needs of developing countries to build capacity for financing development."
"Tax avoidance, harmful practices and aggressive tax planning have to be tackled," the communique added.
The statement stopped short of giving a deadline for implementation of the action plan. The OECD had previously said it could be implemented by 2014.
But the statement added: "We look forward to regular reporting on the development of proposals."
Companies in the spotlight in the last months for using these legal, but controversial, methods of booking profits include US giants Google, Amazon and Starbucks.
The OECD said in its plan that a proper rule system was needed as the current framework was "consensus-based" and risked being entirely undermined, especially as the digital economy becomes ever more important.
Actions proposed by the OECD include requiring taxpayers to disclose their aggressive tax planning arrangements to the fiscal authorities but also making dispute resolution mechanisms more effective.
"(The plan) sets forth 15 actions that would result in most fundamental changes in the tax systems since the 1920s," said OECD Secretary General Angel Gurria as he presented the plan on Friday.
"We must address this so that multinationals pay their fair share," he added.
French Finance Minister Pierre Moscovici said that under the current system some big companies were getting away with paying just 3-4 percent tax, something that could not be justified to ordinary citizens.
AFP
Sun Jul 21 2013
![G20 backs plan to halt tax avoidance G20 backs plan to halt tax avoidance](https://resizer-awani.eco.astro.com.my/tr:w-177,h-100,q-100,f-auto/http://img.astroawani.com/2013-07/41374371123_295x200.jpg)
AWANI Borneo [16/07/2024] – SUKMA 2024 | Sentiasa berwaspada | Pintu sempadan
AWANI Borneo Selasa, 16 Julai 2024 bersama Fauzi Zin.
- SUKMA 2024 : Nasib acara takraw wanita diketahui Khamis ini.
- Ribut petir diramal di Sabah, Bomba saran penduduk berhati-hati.
- Urusan imigresen di sempadan, Malaysia-Brunei adakan rundingan.
- SUKMA 2024 : Nasib acara takraw wanita diketahui Khamis ini.
- Ribut petir diramal di Sabah, Bomba saran penduduk berhati-hati.
- Urusan imigresen di sempadan, Malaysia-Brunei adakan rundingan.
![Hukuman penjara bapa lakukan serangan seksual ke atas 3 anak perempuan dikurangkan Hukuman penjara bapa lakukan serangan seksual ke atas 3 anak perempuan dikurangkan](https://resizer-awani.eco.astro.com.my/tr:w-177,h-100,q-100,f-auto/https://img.astroawani.com/2024-04/51714453013_courtgavelmahkam.jpg)
Hukuman penjara bapa lakukan serangan seksual ke atas 3 anak perempuan dikurangkan
Dalam penghakimannya, Che Mohd Ruzima berkata perayu gagal membuktikan bahawa Mahkamah Sesyen terkhilaf dalam memutuskan kes itu.
Malaysia-Brunei adakan rundingan mudahkan urusan Imigresen
Malaysia dan Brunei akan mengadakan rundingan bagi memudahkan proses keluar masuk rakyat kedua-dua negara.
![Pan-gon mahu kekal hubungan baik dengan Malaysia Pan-gon mahu kekal hubungan baik dengan Malaysia](https://resizer-awani.eco.astro.com.my/tr:w-177,h-100,q-100,f-auto/https://img.astroawani.com/2024-07/81721124936_KimPanGon.jpg)
Pan-gon mahu kekal hubungan baik dengan Malaysia
Bekas ketua jurulatih Harimau Malaya Kim Pan-gon mahu mengekalkan hubungan baik dengan skuad itu biarpun tidak lagi bersama.
Kos pampasan tanah fasa 1B proses Projek LPB Sabah RM1.2 bilion - Alexander
Anggaran kos pengambilan balik tanah bagi keseluruhan Fasa 1B proses pengambilan tanah dan penilaian pampasan tanah bagi Projek Lebuh Raya Pan Borneo Sabah (LPB Sabah) berjumlah RM1.2 bilion.
Sentiasa berhati-hati, ribut petir diramal berlaku di Sabah
Orang ramai khususnya yang tinggal di kawasan berisiko di Sabah disaran agar bersiap siaga terutama dari segi perubahan cuaca yang tidak menentu yang seterusnya akan mengakibatkan bencana banjir dan pokok tumbang.
Nasib acara sepak takraw wanita diketahui Khamis ini
Nasib acara sepak takraw wanita berpasukan dalam Sukan Malaysia (SUKMA) edisi ke-21 di Sarawak akan ditentukan dalam Mesyuarat Jawatankuasa SUKMA Peringkat Kebangsaan pada Khamis ini.
JPBM Sabah serah jentera khas buat pasukan sukarela
Jabatan Bomba dan Penyelamat Malaysia (JBPM) negeri Sabah sedang dalam perancangan untuk menyerahkan jentera khas, iaitu Volunter Fire Rescue Tender (VFRT) untuk Pasukan Bomba Sukarela (PBS) di Sabah.
Sarawak akan pertahan pingat sukan Muay Thai edisi lalu
Skuad Sarawak akan berusaha mempertahankan masing-masing dua emas, perak dan gangsa dalam kejohanan SUKMA yang dimenangi dalam edisi lalu.
![Usaha pujuk Pan-gon tidak berhasil - Yusoff Mahadi Usaha pujuk Pan-gon tidak berhasil - Yusoff Mahadi](https://resizer-awani.eco.astro.com.my/tr:w-177,h-100,q-100,f-auto/https://img.astroawani.com/2024-07/81721124841_TBFAM.jpg)
Usaha pujuk Pan-gon tidak berhasil - Yusoff Mahadi
FAM pernah berusaha memujuk Kim Pan-gon untuk terus mengemudi skuad Harimau Malaya hingga kontraknya tamat secara rasmi pada akhir tahun depan.
![Menteri Luar adakan lawatan rasmi ke China esok Menteri Luar adakan lawatan rasmi ke China esok](https://resizer-awani.eco.astro.com.my/tr:w-177,h-100,q-100,f-auto/https://img.astroawani.com/2020-07/41594796240_Hishammuddin.jpg)
Menteri Luar adakan lawatan rasmi ke China esok
Menteri Luar , Datuk Seri Hishammuddin Tun Hussein akan mengadakan lawatan rasmi ke China dari 1 hingga 2 April 2021.
![Beware of the Fitch rating that can hurl Malaysia into a ditch Beware of the Fitch rating that can hurl Malaysia into a ditch](https://resizer-awani.eco.astro.com.my/tr:w-177,h-100,q-100,f-auto/http://img.astroawani.com/2020-04/81585759822_KualaLumpurCity.jpg)
Beware of the Fitch rating that can hurl Malaysia into a ditch
Credit rating agencies cannot be trusted, as the key navigator to steer the macro or micro economy of Malaysia, says Dr Rais.
![Kaji selidik Monash: Pemimpin korporat Cina puas hati dengan PH Kaji selidik Monash: Pemimpin korporat Cina puas hati dengan PH](https://resizer-awani.eco.astro.com.my/tr:w-177,h-100,q-100,f-auto/http://img.astroawani.com/2018-03/41520591031_ManifestoPH.jpg)
Kaji selidik Monash: Pemimpin korporat Cina puas hati dengan PH
Dalam kaji selidik yang melibatkan 390 responden itu, 50 peratus pemimpin korporat Cina berpuas hati, diikuti pemimpin Melayu (39 peratus), dan pemimpin India (38 peratus).
![MAS tawar diskaun tiket sehingga 50 peratus bermula hari ini MAS tawar diskaun tiket sehingga 50 peratus bermula hari ini](https://resizer-awani.eco.astro.com.my/tr:w-177,h-100,q-100,f-auto/http://img.astroawani.com/2019-04/61556544492_MASaeroplane.jpg)
MAS tawar diskaun tiket sehingga 50 peratus bermula hari ini
Syarikat penerbangan Malaysia Airlines kini menawarkan potongan diskaun bagi kadar tambang sehingga 50 peratus bermula hari ini sehingga sehingga 8 Mei depan.