Parliamentarian calls for British companies to lead on Country-by-Country Reporting
Stephen McPartland, a Conservative member of the UK parliament, told International Tax Review he is committed to country-by-country reporting and has called for the UK’s largest companies to lead the drive for tax transparency.
The Stevenage MP says he believes in greater transparency, and has written to the chief executives of all the FTSE 100 companies to ask them if they are willing to pledge their support for corporate tax transparency and if they will support a new international accountancy standard for country-by-country reporting.
“It is extremely important that large multinationals take the lead on the issue of tax transparency. It’s the most realistic way of getting progress on the issue,” said McPartland. “It is time for a concerted international effort to tackle corporate tax avoidance and for multinationals to actually commit to tax transparency. Governments from around the world will agree with the sentiments of greater tax transparency, but they will struggle to introduce it as every nation competes in the global race.”
Therefore, he said it is up to companies to lead the way. The only way to do that, McPartland argues, is if those companies’ customers – the British public – “drag them kicking and screaming towards tax transparency and a fairer tax system for us all”.
“I believe in greater transparency. Country-by-country reporting is the way forward,” reiterated McPartland. “The current standard only requires reporting on a global basis, and while that’s the case, companies will move profits around the world.”
reproduced here with kind permission from ITR