Third World countries are hopeful that they will secure more power over global tax affairs when the United Nations votes later today.
The resolution put forward by the African Group of states seeks to initiate fresh intergovernmental talks on global tax policy in what could fundamentally halt composition of bodies such as the Organisation for Economic Co-operation and Development (OECD).
According to the Tax Justice Network (TJN), the resolution that has been proposed by the group that represents the 54 African Union member states at the UN “would give the New York-based body the mandate to monitor, evaluate and decide global tax rules.”
Alex Cobham, the chief executive officer at the TJN, says the resolution will open the way for intergovernmental discussions on the negotiation of a UN tax convention and a global tax body.
Richer nations, The Kenya Times understands, have “sought to maintain a tight grip on global tax rules effectively preserving the OECD’s position as the lead forum for discussion and development of tax policy was one element of this strategy.”
the former president of South African president Thabo Mbeki, who has called on other UN members to support the resolution, said: “I understand that the current discussions at the UN general assembly second committee have proceeded well, with only a handful of countries with remaining concerns at the stage prior to adoption.”