G20 finance ministers must deliver tax justice for developing countries

By Chris Jordan

Tax dodging by multi-national companies costs developing countries an estimated 160 billion dollars every single year. That’s more than they receive in aid and enough to give an education to all children who miss out – ten times over.

Massive revenue losses not only make it harder for developing countries to invest in the basic services needed to fight poverty, but also increase dependency on overseas aid. It means they are denied a key tool to make their long term development truly sustainable.

To highlight the unjustice of the current situation, ActionAid has formed The Outlandish Revenue Service. Over the last couple of months, lots of people been going to vast lengths to help achieve tax justice – and the Treasury has taken note.

I’ve met with Treasury Minister Stephen Timms to quiz him on the G20 commitment to help poor countries tackle tax dodging before the end of this year.

With the final G20 Finance Ministers Meeting taking place in St. Andrews next Saturday, it was good to hear that tackling international tax dodging remains a top priority for the government. Now, it’s vital that they deliver a deal through the G20 that really works for developing countries.