Tax Information Automatically to Eliminate Tax Evasion Shared Among BRICS Nations (Download PDF)

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The BRICS (Brazil, Russia, India, China and South Africa) countries have agreed to share tax information automatically as per their commitment to ensure the fairness of the international tax system. This was decided by the meetings of the Heads of Revenue of BRICS Countries in Mumbai, Maharashtra.

The BRICS Countries, tax sharing, BRICS summit

The BRICS Countries, Tax Sharing, BRICS Summit

The BRICS Countries, tax sharing, BRICS summit

  • BRICS member countries occupy five of the top seven places in the global ranking of countries for illicit outflows. China is the biggest source of illicit fund outflows followed by Russia during this period.

Key Aspects

  • They have reaffirmed their commitment to prevent of base erosion and shifting of profits (BEPS), exchange of tax information and capacity building of developing countries.
  • BRICS members will exchange tax information, both on request and on automatic basis, and to adopt global standards on tax transparency they also reiterated their endorsement for Global Common Reporting Standard for Automatic Exchange of Information (AEOI) on a reciprocal basis to prevent cross-border tax evasion.
  • The process of erosion of the tax base by aggressive tax practices including incomplete disclosure of information by MNCs.
  • To eliminate BEPS all member countries agreed to tax profits in those jurisdictions where the activities deriving those profits are performed and where value is created.
  • Global Financial Integrity estimated that BRICS countries have faced huge flows of illicit fund flows in the last decade.
    Lcation of BRICS

Lcation of BRICS

Lcation of BRICS

- Published/Last Modified on: December 7, 2016

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