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OECD body gives top priority to tax transparency, stresses on coordination among member countries

jaswant singh by jaswant singh
April 27, 2023
Experts welcome amendments related to withholding tax hike, other measures in Finance bill

New Delhi, April 27 (). The Asian region is individual, but all Asian members of the Global Forum on Transparency and Exchange of Information for Tax Purposes (known for short as the Global Forum) have agreed to combat tax evasion and through enhanced tax cooperation. Tax transparency has been given priority to achieve sustainable recovery.

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This is the key summary of the Tax Transparency in Asia 2023 report brought out by the Global Forum on Thursday. With 167 members, the Global Forum is the leading international body working on the implementation of global transparency and exchange of information standards around the world. It comes under the Organization for Economic Co-operation and Development (OECD).

The report is the first published since the launch of the Global Forum’s Asia Initiative. It aims to show the progress of Asian countries over the past decade and guide the future work of the Asia Initiative.

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The report noted that although Asian members of the Global Forum have significantly expanded their Exchange of Information (EOI) networks, there is a need to generate more requests for information on tax-related matters by member countries.

It further states that while the Asian Jurisdiction of the Global Forum has grown in number of members over the past decade (there are 22 members today), 11 Asian countries are yet to work on the global implementation of the Transparency and Exchange of Information Standards. Has not joined the major international body.

That said, although adherence to international standards is widespread in Asia, the effective use of EOI standards is still uneven. In fact the number of EOI requests and the level of commitment to the AEOI standard is still low in some countries, and therefore some Asian members are not fully benefiting from the tax transparency standards. This is especially important in the post-COVID-19 pandemic context, where governments around the world need additional revenue to maintain their public services.

KC/SGK

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