Countries outside the OECD such as India and China will be invited to take part in the revamp of the rules on an equal footing, in what experts said might be the last opportunity for the OECD to exert sufficient influence on the international tax system to reach a global accord.
The plan sets out more than a dozen proposals to block gaps between national tax systems and tackle practices that artificially separate taxable income from the activity that generates it. Will Morris, chair of the BIAC’s tax committee said: “In some areas, the international tax system has not kept pace with globalisation and changing business models, and it is appropriate to look again at those areas and consider, based on all the evidence, whether any changes are required.”
The effort to reshape the international tax rules was a chance to avert “global tax chaos”, according to the OECD, which said a failure to act could result in governments taking unilateral action. . . . He said: “The biggest risk to the . He said: “They know the golden age of ‘we don’t pay taxes anywhere’ is over.”
Richard Collier, tax partner at PwC, professional services firm, said the initiative could be “the biggest reform of global taxation in a lifetime” but warned that change would not be swift and depended on continued commitment of governments and business. project will be if momentum and buy-in now wanes.”
The action plan aims to tackle the selling arrangements known as “commissionaire” structures that are widely used by multinationals including digital companies such as Google and Amazon to limit their tax bills in countries where they make sales. would be like trying to plug the holes in a sieve.”
The impact of the project will depend on governments’ willingness to make compromises over the next two years as details of the proposed changes are hammered out. But broader issues around the taxation of the digital economy will be examined by a dedicated task force.
The wide-ranging action plan on tackling “base erosion and profits shifting” has been drawn up by the Paris-based Organisation for Economic Co-operation and Development for the G20 in response to sustained criticism of the low tax rates paid by some multinationals companies such as Google.
The Business and Industry Advisory Committee at the OECD said it welcomed a “considered and analytical” review of the rules but stressed the continued importance of relieving double taxation.
Story highlightsThe impact of the project will depend on governments’ willingness to make compromises over the next two years’The effort to reshape the international tax rules was a chance to avert “global tax chaos”The plan sets out more than a dozen proposals to block gaps between national tax systems
Plans for a global crackdown on tax arbitrage marking “a turning point in the history of international co-operation on taxation” were unveiled on Friday at the meeting of G20 finance ministers in Moscow.
Pascal Saint-Amans, the top tax official at the OECD, said the initiative would force up tax rates for multinationals that organise their affairs so they paid little tax. The Tax Justice Network, a campaign group that has been pushing for a radical change in the international tax rules, criticised the OECD for failing to deal with “fundamental flaws” in the system. . It includes proposals to tackle abuses of tax treaties, to prevent tax avoidance by shifting intangibles between group companies and to neutralise the impact of “hybrid” structures used to minimise billions of dollars of tax.. It said “piecemeal recommendations for states to apply patches to the increasingly leaky international tax system
And it resonates in his exceptional screenplay, which potently captures the gleaming seduction of Robert’s world and the fear that festers underneath.. And Gere nails every nuance in a role that holds up a dark mirror to the way we live now. Gere digs so deep into this flawed tycoon that we come to understand Robert’s actions without for a minute forgiving them. Credit Jarecki, whose combustible directing debut gives “Arbitrage” the charge of a thriller and the provocation of a moral fable. No Academy love, not even for his sinister brilliance in “Internal Affairs,” “American Gigolo” and “The Hoax,” or for the battered heart he brought to the cheated-on husband in “Unfaithful.”
“Arbitrage” is such a movie, a sinfully entertaining look at the sins committed in the name of money. Despite his box-office success in crowd-pleasers such as “An Officer and a Gentleman,” “Pretty Woman” and “Chicago,” Gere has long been underrated. But Robert keeps his cool until the sudden death of one of these women has him dodging a possible murder rap with the grudging help of Jimmy Grant (a terrific Nate Parker), the son of the family chauffeur and the only black man in Robert’s circle of white privilege. At 62, he is at the peak of his powers. She can’t rock his composure. Gere’s Robert Miller is the picture of unflappable elegance. That’s when NYPD detective Michael Bryer (Tim Roth) smells a rat and Robert’s world begins to unravel.
Jarecki knows the territory. True, this territory has been covered from Wall Street to last year’s “Margin Call.” But Gere and first-time director Nicholas Jarecki put a tantalizing spin on what goes on in the head of a fraudulent hedge-fund manager when he decides to stick it to the rest of us, including his own family.
Gere’s performance in “Arbitrage” is too good to ignore. As the son of two commodities traders, Jarecki has Wall Street in his DNA. And the glamour in his field of vision — cheers to cinematographer Yorick Le Saux (I Am Love) for the sheen and composer Cliff Martinez (Drive) for the seductive mood — is tempting enough to make us all complicit.
Story highlightsRichard Gere stars as a fraudulent financier in the filmCritic says Gere’s performance is “a thing of toxic beauty”The movie also stars Susan Sarandon and Laetitia Casta
It’s instructive to note what a killer actor Richard Gere can be when a movie rises to his level.
Like the best movies, “Arbitrage” persuades us to ask tough questions about ourselves. Good job on that, since he’s just lost $400 million in a bad copper-mine investment, and if he can’t cover it up and unload his company on a major bank, his career will go kaput along with his fortune. And Gere knows the man, inside and out. For proof that we’re in financial hell, look around. His rapt, watchful performance is a thing of toxic beauty. It’s an implosive tour de force.
There’s enough plot here to stuff a miniseries or three, yet “Arbitrage” never descends to bland and predictable. Wearing the trappings of wealth like a second skin, Gere invites us to see what Robert sees. Watch him in the scene when Sarandon — in full, feisty flower — hits Robert with a lifetime of resentments. Fraud puts pressure on Robert’s skill at deceiving wife Ellen (Susan Sarandon), French mistress Julie (Laetitia Casta) and chief accountant Brooke (Brit Marling), who also happens to be his daughter. Docs run in the Jarecki family, with half brothers Andrew (“Capturing the Friedmans”) and Eugene (“Why We Fight”) making notable contributions to the genre. Jarecki has an eye for the telling detail, not surprising given his start with the 2005 documentary “The Outsider” (about rogue director James Toback). But Gere gives us a window into the soul of a man who finally realizes that even money will no longer help him lie to himself