The United Nations (UN) has just published the first draft negotiating text for the Terms of Reference of its new UN Framework Convention on International Tax Cooperation.

Tove Maria Ryding, Tax Coordinator at the European Network on Debt and Development (Eurodad), has been following the UN process closely and commented:

“Today we saw another key step forward towards a world where tax systems become more effective, fair and just. What we have on the table now is a first outline of what a UN Framework Convention on Tax could look like, as well as a pathway for how it can be finalised by 2026.

“The negotiating text includes measures to ensure that multinational corporations stop using tax havens and start paying their fair share of tax. It also includes the issues of taxation of the super-rich and ways to ensure that tax systems help us combat environmental problems. Lastly, it provides the basis for inclusive decision-making on global tax issues, where all countries participate on an equal footing, and where the interests and concerns of developing countries at long last get reflected in the global tax rules.

“This provides a good starting point for the upcoming UN negotiations, and now it is high time for our governments to show willingness to cooperate and deliver the international agreements we need to move forward.

“We welcome the fact that the suggested timeline would give us a new UN Tax Convention by 2026. Countries around the world are currently losing over a billion dollars per day due to international tax abuse. In a time when we are in desperate need of more funding for schools, health care and action on global problems such as climate change, it is clear that we need urgent action from governments to solve this problem.”

ENDS

Media contact: Julia Ravenscroft, Communications Manager, Eurodad: [email protected]/ +44 7958 184 695.

Notes to editors

The mandate for the UN tax negotiations is UN General Assembly resolution 78/230, which can be found here.

The draft negotiating text that was published today will now be the basis for a round of comments from governments, civil society and other actors. By mid-July, an updated text will be published, after which the face-to-face negotiations will resume in New York at the end of July. The deadline for finalising the Terms of Reference is the end of August 2024. More information can be found on the UN website.

In March 2024, over 170 civil society organisations and trade unions made a joint submission to the UN outlining the key issues that must be addressed by the new UN Framework Convention on International Tax Cooperation. The submission can be found here.