The shadow chancellor has called for multinational companies to publish a “single figure” for the amount of corporation tax they pay in the UK to tackle tax avoidance and ensure everyone “pays their fair share”.
Writing in an exclusive blog for The Huffington Post UK, Ed Balls has pushed the government to put “concrete proposals on the table for the G8 to deliver internationally agreed action on tax transparency”.
Balls said: “At the moment it is too easy to set up complex networks of companies within a group, some of which can be based in tax havens, and move profits between them. This can make it very difficult to assess the overall amount of tax paid. Multinational groups can and should be able to structure however they wish, but they should have to produce a single figure for their UK tax.”
The shadow chancellor also pressed for reform of the corporation tax system, promising “clearer, tighter and properly enforced” regulation as part of Labour’s policy review.