Mandate: Resolution of the Council [C(2013)84, Annex and C/M(2013)17, Item 173] Revising the Mandate of the Committee on Fiscal Affairs
THE COUNCIL
HAVING REGARD to the Convention on the Organisation for Economic Co-operation and Development of 14 December 1960;
HAVING REGARD to the Rules of the Procedure of the Organisation;
HAVING REGARD to the Revised Resolution of the Council on Partnerships in OECD Bodies [C(2012)100/REV1/FINAL];
HAVING REGARD to paragraph 36 of the Preparatory Committee on the creation of a Fiscal Committee, which became the Committee on Fiscal Affairs with a new mandate in 1971 [C(71)41], last revised in 2013 [C(2013)84] and extended in 2018 [C(2018)72];
HAVING REGARD to the following Council Recommendations concerning the Organisation’s work on taxation:
Resolution of the Council concerning the Activities of the Organisation in the Field of Taxation [C(71)41];
Recommendation of the Council on Tax Avoidance and Evasion [OECD/LEGAL/0158];
Minutes of the 669th session of the Council [C/M(87)16(Final)];
Recommendation of the Council on Tax Treaty Override [OECD/LEGAL/0253];
Recommendation of the Council on the Determination of Transfer Pricing Between Associates Enterprises [OECD/LEGAL/0279]];
Recommendation of the Council on Counteracting Harmful Tax Competition [OECD/LEGAL/0297];
HAVING REGARD to the recommendations of the In-depth Evaluation of the Committee on Fiscal Affairs [C(2012)25 & C/M(2012)4, Item 61];
HAVING REGARD to the proposed extension of the mandate of the Committee on Fiscal Affairs [C(2020)46];
DECIDES:
A. The Committee on Fiscal Affairs is renewed with the following revised mandate:
I. Objectives
a) The overarching objective of the Committee on Fiscal Affairs (hereinafter called “The Committee”) is to contribute to the shaping of globalisation for the benefit of all through the promotion and development of effective and sound tax policies, international tax standards and guidance that will allow governments to provide better services to their citizens while maximising economic growth and achieving environmental and social objectives. Its work is intended to enable OECD and Partner (i.e. non-Member) governments to improve the design and operation of their national tax systems, to promote co-operation and co-ordination among them in the area of taxation and to reduce tax barriers to international trade and investment.
b) In light of this objective, the Committee shall:
1. support the development of efficient and equitable tax systems, consistent with maximising the growth potential of OECD Members and Partners and the achievement of the environmental and social objectives of governments, through the analysis of tax policy issues, comparative statistics, comparisons of country experiences in the design of tax systems and by sponsoring or conducting research into tax design and related issues;
2. facilitate the negotiation of bilateral tax treaties and the design and administration of related domestic legislation;
3. promote communication between countries and the adoption of appropriate policies to prevent international double taxation and to counteract tax avoidance and evasion;
4. encourage the elimination of tax measures which distort international trade and investment flows;
5. promote a climate that encourages mutual assistance between countries and establish procedures whereby potentially conflicting tax policies and administrative practices can be discussed and resolved;
6. improve the efficiency and effectiveness of tax administrations, both in terms of taxpayer services and enforcement, including through analysis of compliance costs borne by enterprises in implementing complex legislation and regulations and simplification where possible to foster voluntary compliance;
7. support the integration of Partners into the international economy by strengthening policy dialogue with them to increase their awareness of and contribution to the Committee’s standards, guidelines and best practices.
II. Methods
In order to achieve these objectives, the Committee will focus its work on delivering outputs of high quality and with high policy impacts and shall regularly assess whether these targets are being met. In particular, the Committee shall:
a) develop standards, guidelines and best practices in areas where international co-ordination is desirable and monitor the practical implementation of them and other recommendations;
b) provide a forum for discussions by senior policymakers and tax administrators, and where appropriate the business community and other parts of civil society, of international and domestic tax policy and administration issues and emerging issues in a global economy which require a response from senior tax policy makers;
c) supply OECD countries with internationally comparable tax statistics and comparisons of the major taxes used throughout the OECD area, and provide strategic analysis of important tax policy and administration issues for use in publications, briefs, and the like.
III. Co-operation
a) The Committee shall strengthen policy dialogue with Partners in order to increase their awareness and use of the Committee’s standards, guidelines and to explore together the identification of good practices.
b) The Committee shall monitor and contribute to relevant activities carried out in other international bodies. In particular, it will continue to participate in the UN Committee of Experts on International Cooperation in Tax Matters and will continue its co-operation with the Financial Action Task Force, Interpol, and the World Customs Organisation on issues of mutual interest.
c) It will promote and develop strategic partnerships with regional tax and other international organisations and will continue to develop the International Tax Dialogue. The Committee will monitor and co-ordinate work undertaken by the Organisation in related fields and shall co-operate with relevant OECD bodies. In particular, it will contribute where appropriate to the work of the Global Forum on Transparency and Exchange of Information for Tax Purposes, continue to work jointly with other bodies carrying out projects having tax policy aspects, in particular with the Economic and Development Review Committee, the Economic Policy Committee; the Environment Policy Committee; the Employment, Labour and Social Affairs Committee; the Development Assistance Committee; the Committee on Industry, Innovation and Entrepreneurship; the Investment Committee; the Trade Committee; the Education Policy Committee; the Governing Board of the Development Centre and the Working Group on Bribery.
d) The Committee shall continue to co-operate closely with BIAC, TUAC and other major stakeholders.
B. The mandate of the Committee shall remain in force until 31 December 2024.”