China signs tax data pact
China, Canada, Iceland, India, Israel and New Zealand have signed up for the OECD's Multilateral “Competent Authority agreement for the automatic exchange of Country-by-Country reports”, the tax information-sharing pact held to be an important tool in figuring out where multinationals pay or evade tax.
The six new signatories bring the total number of tax-data-sharing nations to 39.
Signatories automate data-sharing efforts, in the hope that a free and fast flow of information helps to catch more tax dodgers.
The six new signatories are all good catches for the OECD. China and India impress on grounds of scale and potential, while Israel hosts many big technology concerns known use creative accountancy. ®