EU says 6,000 Companies Worldwide Will Have to Disclose Tax Details
Brussels: European Union authorities called on Tuesday for 6,000 of the world’s largest companies to reveal the tax they pay to each of the bloc’s 28 member countries and to disclose their tax arrangements in offshore havens.
The European proposal, which officials tweaked in recent days to pay more attention to offshore holdings in light of the Panama Papers, is primarily aimed at stopping multinational companies from shifting their profits around Europe to lower their tax bills. The biggest impact could be on the way companies that have easily recognised brands, and that are concerned about their public images, manage their taxes in the EU. To become l aw, t he proposa l must receive the approval of the European parliament and a majority of European Union governments. The rules would apply only to multinational companies with global revenues greater than E750 million a year, or about $855 million.