Taxation: Avoidance

Debate between Lord Wills and Lord Newby

Thursday 14th March 2013 Lords Chamber

[Lord Newby]

I absolutely agree, which is why the Government have put nearly £1 billion of funding into this area and why we have reversed the cut of 10,000 compliance staff that was made under the last Government. There are now 2,500 additional people in that area. That is why the people we are recruiting for this are increasingly highly specialised.

[Lord Wills]

My Lords, what consideration are the Government giving to persuading the G8 to require multinational corporations to produce country-by-country reporting of their tax payments so that not only can the tax authorities in developing countries be better informed about what these companies are paying but the people of those countries can be better informed, so that they can hold those companies and their own states better to account?

[Lord Newby]

The Government support country-by-country reporting for the extractive industries, where some of the worst abuses are taking place. We are currently looking at broader proposals for country-by-country reporting. On the point about expanding the principle more widely, we want to make sure that we get the costs and benefits right.