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UK News

Publish your tax details, Christian Aid urges big business

by Antony Bushfield

The charity wants companies to stop using loopholes in systems that mean they can pay very little despite multi-million pound profits.

It's published a report along with ActionAid and Oxfam which outlines ways firms can act more responsibly in areas including transfer pricing, use of tax incentives and lobbying.

Getting To Good gives detailed examples of what more responsible tax decisions would look like and highlights the 'human rights impacts' of businesses not paying their fair share.

It comes on the back of intense pressure on companies like Vodafone, Starbucks and TopShop, which campaigners accuse of using loopholes to pay less tax.

The report urges firms to publish country-by-country reports before being legally required to do so, publish the outcome of any significant settlement with revenue authorities and assess and begin to address the human rights impacts of their tax behaviour.

In addition, the report suggests the need for a change of culture within multinationals towards an acceptance that they can go above and beyond being legally compliant on tax, recognising the huge impact that their tax decisions have on the rest of society.

Matti Kohonen, Principal Adviser on the Private Sector at Christian Aid, said: "Christian Aid knows it takes courage for companies to go beyond the law, for instance by making financial details public in every country where they operate.

"We hope that this report will encourage them to move in the right direction. Such a shift will be welcomed as vital for tackling poverty and growing inequality in the developing world.

"Public opinion is changing rapidly and companies are increasingly expected to take positive action on this issue."

 
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