Targeting Tax Avoidance Enablers

When: Tuesday 1st of November;

Format: Hybrid. For those that one to attend online, please indicate on the form;

Time: 18:00 - 19:30, to be followed by drinks & snacks;

Where: Baker & McKenzie @ the Hub (14th Floor, One Taikoo Place, 979 King's Road, Quarry Bay)

By: Prof. Noam Noked

Content:

The Panama Papers, the Paradise Papers, and the recently published Pandora Papers have exposed how tax advisers, financial institutions, and other intermediaries have helped the world's economic elites hold their wealth through corporations and trusts organized in tax havens. These professional enablers are frequently located in a country other than that of the relevant taxpayers. This means that the tax avoidance enablers are often out of the reach of the victim governments.

How can a government counter the activities of professional enablers located in other countries? This has proven to be a formidable challenge. The EU is now considering three policy options: (1) requirement for all enablers to carry out certain due diligence procedures; (2) prohibition to facilitate tax evasion and aggressive tax planning combined with due diligence procedures and a requirement for enablers to register in the EU; and (3) code of conduct for all enablers.

This seminar will examine recent developments in the regulation of tax avoidance enablers. It will also present a proposal for a new international reporting standard, referred to as Global Mandatory Disclosure Rules (GMDR), which will impose reporting obligations on intermediaries assisting taxpayers with designing and implementing cross-border tax schemes.