Eumedion advocates far-reaching transparency on tax payments by multinationals

News · 15-04-2021

Eumedion believes that every multinational should not only disclose their tax contributions for all EU Member States, but for all countries they operate in. In addition, this country-by-country tax information must be audited by the external auditor. This follows from the statement Eumedion published today with respect to the proposed European directive on country-by-country tax reporting.

Eumedion has always supported the European Commission’s proposal to introduce an obligation for multinationals to publicly report where taxes are paid (‘country-by-country tax reporting’). Promoting greater disclosure of taxes paid per jurisdiction increases overall transparency and allows for a more detailed analysis by investors and better engagement on tax-related topics. In the light of the current negotiations between the EU institutions, Eumedion has published a statement with some comments on the positions of the European Parliament and the European Council. In the statement Eumedion writes that it supports the position of the European Parliament that the country-by-country information should not only be provided for each EU Member State but also for each tax jurisdiction outside the European Union. Furthermore, Eumedion states that it believes that the directive should be strengthened by requiring that the information in the country-by-country report should be audited by the external auditor. And by requiring that the aforementioned information shall be published as an annex to the annual financial statements.

Relevant documents

Statement proposed country-by-country tax reporting directive