The Minister of Economy, Martín Guzmán, highlighted this Friday the need to fight the evasion policies promoted by multinationals, pointing out that they generate “historical injustices” and represent “one of the worst problems” facing the global economy.
“Argentina remains committed to seeking solutions to the historical injustices of tax avoidance and evasion by large multinational corporations,” Minister Guzmán emphasized.
The minister addressed the chapter on the problem of international taxation during his virtual presentation at the first meeting of Finance Ministers and Presidents of Central Banks of the G20, which is being held in the city of Jakarta, the capital of Indonesia.
“Transparency must be ensured in the methodology and in the information used to evaluate the fiscal impact of the global solution” Martin Guzman
For Guzmán, it is necessary to advance in a “global solution for the fiscal challenges derived from the digitalization of the economy.”
“It will be an important step in the action of tackling one of the worst problems of the global economy, that of global tax avoidance,” he added. In this sense, he clarified that “the work that has been carried out in the development of the technical details of the solution will be crucial for its effectiveness.”
The minister emphasized the need to “ensure transparency in the methodology and in the information used to evaluate the fiscal impact of the global solution”. In this way, “each jurisdiction will have a valid and updated tool to carry out said evaluation, before and during its implementation.
In another passage of his virtual dissertation, he urged to “respect the idiosyncrasies of the different jurisdictions, so that developed and developing economies are on an equal footing in the decision-making process.”
“Argentina recognizes the very important work of this committee to improve the international tax architecture and remains committed to seeking solutions to the historical injustices of global tax avoidance and evasion”Martin Guzman
In addition, he proposed to “include a mechanism for reviewing and adapting the elements of the global solution” on the basis that “for a while there will not be a precise idea of how the system works.”
Regarding the advances that occur in the world of crypto assets, he suggested the need to “gather the information that guarantees full compliance with tax obligations.”
“Argentina recognizes the very important work of this committee to improve the international tax architecture and remains committed to seeking solutions to the historical injustices of global tax avoidance and evasion,” he added.
In addition to Guzmán, the Argentine government was attended in person by the executive director for the Southern Cone at the IMF, Sergio Chodos; the Secretary of International Economic and Financial Affairs, Maia Colodenco and her adviser Eugenia Arioua
These injustices, according to Guzmán’s vision, “have been harming the processes of economic and social development, in order to build a more inclusive, dynamic and sustainable global economy.”
At the Indonesian meeting, the G20 representatives discussed the challenges facing the international financial architecture and highlighted, through their statement, the progress made in reviewing the IMF’s surcharge policy.
The need to strengthen coordination between the Ministers of Finance and Health to promote prevention, preparation and response to future pandemics was also discussed, after the experience of the last two years with the coronavirus.
At the meeting in Indonesia, the G20 representatives discussed the challenges facing the international financial architecture and highlighted, through their statement, the progress made in reviewing the IMF’s surcharge policy
In addition to Guzmán, the Argentine government was attended in person by the executive director for the Southern Cone at the IMF, Sergio Chodos; the Secretary for International Economic and Financial Affairs, Maia Colodenco, and her adviser, Eugenia Arioua.
In this context, the AFIP continues to investigate the corporate networks that would have Argentine residents as final beneficiaries. The collecting agency created an information system on tax planning, establishing guidelines to exploit data from abroad and expanded the network of information exchange agreements.
The data generated through the exchange of financial and tax information is one of the tools that developing countries have to combat aggressive tax planning mechanisms and illicit financial flows.
