Accountants call for G20 tax accord

Date: 13th October 2009

New taxation rules from governments are necessary, new analysis from accountants indicates.

The Association of Chartered Certified Accountants (ACCA) report suggested that inconsistencies between national tax regimes should be removed through international agreements.

This proposed future deal would mirror the recent commitments made on banking reform by world leaders.

Chas Roy-Chowdhury, ACCA's global spokesperson on taxation issues, commented: "G20 leaders have proposed improved co-ordination between national authorities as a key aspect of restoring confidence in global financial regulation. But is there a need for similar action in the field of taxation?"

He added: "Global co-ordination is vital to make sure that tax is fair and transparent.

Among the recommendations set out in ACCA's report is that tax havens should not be used by governments as a "distraction" from domestic taxation reforms.

Leading nations were also urged to promote free trade and avoid putting pressure on low-tax countries to increase their levies for the purpose of "harmonisation".