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Tax avoidance to be on agenda of 17-18 June G8 Summit

June 12th, 2013

Tax_justice_CASenior Catholic bishops from all of the G8 countries urged G8 Ministers to tackle tax avoidance, saying that “paying a fair share of taxes” is a “moral obligation”. Cardinal Brady, the head of Ireland’s Catholic church organized a letter to the G8, urging leaders to make good on their pledge to tackle aggressive tax avoidance at a summit later this month.

Last month, US senators described Ireland as a “tax haven”, accusing it of facilitating a multibillion-dollar tax avoidance structure for Apple. Tax Justice campaigners have argued that Ireland’s ultra-low corporation tax rate of 12.5%, combined with a series of additional tax incentives, is having a corrosive impact on tax coffers elsewhere, particularly poorer nations.

“In terms of tackling hunger, nothing is more crucial…than tax justice”, says Oliver De Schutter, UN Special Rapporteur on the Right to Food.

The Tanzania Energy and Minerals Minister says multinationals’ tax evasion and avoidance by companies and others is “crippling development and negatively affecting government budgets to cover…health, education and food production.” Many multinational companies operating in Tanzania are alleged to have accounts in British Virgin Islands, Cayman Islands, Bermuda and several other places under Britain to avoid paying taxes.

The Business & Human Rights Resource Centre has created a resource on the subject: “Tax avoidance: An introduction”. Please visit their website for this resource and more information.

The Oblates belong to a coalition of non-governmental and faith groups – Tax Justice Network – that is campaigning for a more just international tax system.

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