GCAP demands urgent action for Inclusive and Effective International Tax Cooperation Tuesday November 7th, 2023
In a powerful statement, a coalition of civil society organisations including the Global Call to Action Against Poverty (GCAP), and trade unions has come together to support the United Nations General Assembly (UNGA) Draft Resolution on the “Promotion of Inclusive and Effective International Tax Cooperation.” This initiative highlights the critical importance of global efforts to enhance international tax cooperation, providing a path towards fair and equitable fiscal systems for nations worldwide.
The letter underscores the necessity of cooperation and collaboration among nations to address the challenges of our time, strengthen international tax systems and protect public resources. As many as 212 international, regional as well as national organisations covering 68 countries have signed the letter so far.
The coalition’s letter emphasises several key points:
A Call for a UN Tax Convention:
The coalition advocates for the establishment of a Member State-led, open-ended ad hoc intergovernmental committee to develop a comprehensive UN Tax Convention. This convention, if realized, would be the world’s first genuinely global agreement on international tax cooperation, ensuring that all nations can participate on an equal footing.
Urgency in the Face of Global Challenges:
With the ongoing Covid-19 pandemic, increasing public debt service payments, and rising costs of living, the need to enhance domestic resource mobilization and combat illicit financial flows has never been more critical. The coalition calls for the completion of the UN Tax Convention by June 2025 as an urgent priority.
Holistic Approach to International Tax Cooperation:
The coalition supports a UN Tax Convention with a comprehensive scope, flexibility, and resilience to address the evolving landscape of international tax cooperation. This includes tackling issues related to tax-related illicit financial flows and the taxation of income in our increasingly digitalized and globalized economy.
Integration with Key UN Agendas:
The coalition emphasizes the importance of connecting international taxation to other critical UN agendas, such as sustainable development, gender equality, environmental protection, and more. Fair and progressive tax systems are seen as fundamental to achieving these global goals.
Inclusive Civil Society Participation:
The letter highlights the significance of civil society’s active engagement in the UN tax process. Civil society organisations and trade unions bring essential perspectives, knowledge, and solutions to the table, promoting transparency, fairness, and effective governance in global tax matters.