Collaboration or Co-optation? A review of the Platform for Collaboration on Tax
By Manuel F. Montes and Pooja Rangaprasad
The Platform for Collaboration on Tax (PCT), launched in April 2016, is an effort to intensify cooperation on tax issues among the staff of the OECD, IMF, World Bank and the United Nations. The PCT’s stated objectives include the production of joint outputs, strengthening interactions between standard setting, capacity building and technical assistance and sharing information. PCT has since produced toolkits on issues such as tax incentives, transfer pricing, and taxation of offshore indirect transfers. The PCT also held its first global conference in February 2018 at the UN where a concluding ‘conference statement’, negotiated among the four secretariats, was produced.
Renewed crises in emerging economies and the IMF ‒ Muddling through again?
As recognised by the International Monetary Fund (IMF), the global financial safety net including international reserves, Fund resources, bilateral swap arrangements, regional financing arrangements is “fragmented with uneven coverage” and “too costly, unreliable and conducive to moral hazard”. Given the aversion of emerging economies to the IMF and unilateral debt standstills and exchange controls, the next crisis is likely to be even messier than the previous ones. Some countries may seek and succeed in getting bilateral support from China or some reserve-currency countries according to their political stance and affiliation. In such cases, crisis intervention would become even more politicised than in the past and a lot less reliant on multilateral arrangements. By failing to establish an orderly and equitable system of crisis resolution, the IMF may very well find its role significantly diminished in the management of the next bout of crises in emerging economies. In other words, multilateralism, however imperfect, could face another blow in the sphere of finance after trade.
Transfer Pricing: Concepts and Practices of the ‘Sixth Method’ in Transfer Pricing
Many developing countries are particularly concerned with problems of transfer pricing in the extractive industries, which are often significant components of their economies. Similar to other sectors, profit attribution may be highly dependent on the valuation of commodity exports. For this reason, a number of developing countries have adopted the ‘Sixth Method’, following the Argentine experience. This method aims to establish a clear and easily administered benchmark and avoid the need for subjective judgment and discretion.
Taxation has been a key tool in improving Ecuador’s Gini coefficient. Ecuador has improved how it manages tax collection and implemented domestic anti-fraud regulations and international mechanisms concerning aspects such as transfer pricing and tax havens. These measures have helped to increase the tax base, which has had a positive impact on the redistribution of wealth and equality. The increase in the tax base has also led to more social investments in health care, education, the road infrastructure, etc.
The Cooperation and Facilitation Investment Agreement (CFIA) in the context of the discussions on the reform of the ISDS system
The Brazilian Cooperation and Facilitation Investment Agreement (CFIA) model establishes an alternative approach to dispute resolution. This does not mean, however, that the CFIA is silent with regards to possible disputes arising from breaches to the agreement and/or claims by investors. Based on the premise that the investment regime between two or more countries is a positive-sum game, in which all parties involved win, the CFIA presents an approach based on the prevention of disputes.
Antibiotic resistance—and the broader antimicrobial resistance (AMR) – is a silent but major killer. In fact it is emerging as the most serious threat to global health, with experts warning of a “post-antibiotics apocalypse”.
This special issue of South Bulletin focuses on the AMR crisis, especially on how it affects developing countries—and the great challenges on fighting this threat.
The IP Negotiations Monitor summarizes the latest developments in multilateral and regional fora where intellectual property negotiations are taking place, and informs on upcoming meetings and events.
Recent news about the collusion of Facebook, Cambridge Analytica and the Trump election has brought forward one of the more covert and often insufficiently discussed problem of Social Media platforms to the fore. Instead of calling out Facebook alone, I prefer to use Social Media platforms as the problems related to big data enterprise and privacy are as much a Twitter/Whatsapp/Instagram/Snapchat issue as it is for Facebook.
Yet right now Facebook is being attacked from left, right and center by everyone including their own ilk. The question this merits is whether the data problems with the Social Media platforms are only limited to explicitly share data (which Facebook is being blamed for) or is it also about the (more often used) method of implicitly acquiring and utilizing user information? (more…)
Last week’s action by President Donald Trump has ended the United States’ leadership on liberal trade and may trigger a global trade war with major damaging consequences. On 8 March, Trump signed a proclamation to raise tariffs of steel by 25% and aluminium by 10%. It sent shockwaves across the world not only because of the losses to metal exporters, but due to what it could well signify: the start of a global trade war causing economic disruption in many countries, and that may also damage if not destroy the multilateral trade system. (more…)
Outcomes of the 142nd session of the WHO Executive Board
The 142nd session of the WHO Executive Board discussed several critical public health issues including a recommendation to the WHA to approve the General Program of Work (GPW), the adoption of important decisions relating to access to medicines and research and development and a draft resolution on the preparation of the UN High Level Meeting on Tuberculosis.
The new agreement that eleven countries are signing on 8 March in Chile in place of the Trans Pacific Partnership Agreement (TPP) is like old wine in a new bottle — without the United States but retaining most of its controversial elements. The TPP seemed to have died when President Donald Trump pulled the United States out of it early last year. But the remaining 11 members have rescued it almost intact, giving it a new name, the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). (more…)
EL CASO DE LA HEPATITIS C Y EL PROBLEMA GLOBAL DE ACCESO A LOS MEDICAMENTOS
By Ernesto Samper Pizano
“Los Estados partes en el presente Pacto reconocen el derecho de toda persona al disfrute del más alto nivel de salud física y mental”
(Pacto Internacional de Derechos económicos, sociales y culturales).
El 3 de marzo de 1989, en el aeropuerto de El Dorado de Bogotá, fui víctima de un atentado que casi me cuesta la vida. Por fortuna, recibí una atención rápida y eficaz en la clínica a donde fui trasladado. Lamentablemente, allí mismo, en medio de los afanes por salvarme, recibí una transfusión de sangre infectada por lo que entonces no se conocía como el virus de Hepatitis C, cuyo poder mortífero vino a ser descubierto y estudiado con posterioridad a mi atentado, cuando ya había dejado de ser presidente de Colombia. La eficaz persistencia de mi médico personal, el doctor Alonso Gómez Duque, me llevó a someterme entonces al calvario de un tratamiento para curar la enfermedad. Indagué, en primera instancia, qué tanto daño podía haber ocasionado en mi hígado. Los primeros exámenes de fibro-test, que miden a través de la sangre los niveles de fibrosidad hepática realizados en Francia, arrojaron, en un rango de 0 a 6, una cifra baja pero preocupante, entre 3 y 4, que aconsejaba, según el hepatólogo Víctor Hidrobo, un tratamiento inmediato. Tomé la decisión de hacerlo. Durante seis meses (que a mí me parecieron una eternidad) me apliqué una inyección semanal de interferón –una sustancia utilizada originalmente para la cura del cáncer– que acompañaba con seis pastillas diarias de rivarbirina para “fijar” el interferón, lo que convertía el tratamiento en una especie de quimioterapia ligera con muy molestos efectos colaterales. (more…)
