EU agrees tax transparency deal
EU government and parliament negotiators have reached a deal on rules that will force large multinational companies to disclose how much revenue and tax they pay in the bloc, as well as in countries the EU deems to be tax havens. The law, which was initially proposed by the European Commission in 2016, will see multinational corporations with a turnover of more than €750m annually in two consecutive years have to declare profits, tax and number of employees in EU countries and in countries on the EU list of non-cooperative jurisdictions. Data on tax paid in other countries outside the EU and not on the tax havens blacklist will only be given in aggregated form. Tax Justice Network analysis suggests EU countries are responsible for 36% of tax lost globally to corporate tax abuse, costing countries worldwide over $154bn a year as profits are shifted to low tax jurisdictions.