Snorre Valen (SV - socialist left) presented a suggestion to Parliament concerning a measure against a black economy and tax evasion. Poto: Stortinget (CC BY 2.0) Flickr
The litmus test is served. Snorre Valen (SV) asks politicians in Parliament to sign a representative proposal for extended country-by-country reporting. Since the Panama Papers, this is one of the most important measures which is not in place yet. The reason for this is the lack of follow-up by the Ministry of Finance on country-by-country reporting for accounting purposes.
Finance MinisterSiv Jensen. Foto: Rune Kongsro, Finansdepartementet
There are mechanisms against the Panama leak. The Ministry of Finance is scheduling the most important hearing which can give transparency into companies for "summer."
The OECD has invited interested parties to send comments on a discussion draft, which includes the preliminary results of the work carried out in three different areas on tax-policy. Publish What You Pay Norway has used the opportunity to send in comments.
The Norwegian Parliament.
Regulations concerning country-by-country reporting
Two criteria need to be met in order for country-by-country reporting to be one of the best and cheapest policy measures.
PWYP Norway underlines these two criteria in our consultative statement to the Ministry of Finance:
-Global transparency in the world economy is necessary are we to build sustainable societies, says Finland’s Minister of International Development and Green politician Heidi Anneli Hautala.
Summary: This briefing from PWYP Norway explains what the extended country-by-country reporting policy proposal is, why it is necessary, how it is streamlined with the reporting requirements in the Dodd-Frank law and the EU proposal, as well as with the extractive companies’ existing consolidation processes, and how it can be implemented easily and at low cost.
The briefing features a suggested reporting template in an easy-to-use format that captures the essential tax payment information in a meaningful context.
Summary * Extractive industries are big users of a financial instrument called derivatives, which can be abused to transfer revenues out of host countries before it is taxed.* The value behind all derivatives is 10 times the world GDP.* One simple policy proposal can be enacted upon unilaterally to stop abuse, while protecting proper use of these instruments. Read the short 4-page briefing of the report.
Summary: Defining Elements outlines which concrete elements should be made subject for regulation in a full country-by-country reporting standard for the extractive industry. It is based on input from CSOs, tax experts, accounting experts, private sector, and PWYP Norway´s experiences with other processes. This is a draft for discussion, and input in writing is appreciated (input gathering is now closed).