Nigeria and other developing countries have renewed calls for a fairer and more equitable international tax system that prevents the exploitation of developing economies and ensures that multinational corporations contribute their fair share of taxes. The countries, under the Global Alliance for Tax Justice (GATJ), made the call during the fifth session of negotiations on the UN Framework Convention on International Tax Cooperation, held at the United Nations Headquarters in New York from August 3 to 13. Speaking after the negotiations, GATJ Executive Coordinator, Dr. Dereje Alemayehu, said the session demonstrated growing support for a global tax system that promotes a fair distribution of taxing rights among countries, ensures that wealthy individuals and corporations are effectively taxed, and strengthens transparency in international taxation. “The session saw strong engagement on these topics, showing that the debate is open and moving forward. As civil society, we are calling for continued ambition as the negotiations progress,” Alemayehu said. In a statement, the GATJ said the first week of negotiations focused on the newly released zero draft of the Framework Convention, describing it as an important step towards addressing fundamental challenges in the international tax system. The second week focused on the first and second early protocols, which dealt with the taxation of digital services and the prevention and resolution of tax disputes, respectively. According to the alliance, the negotiations highlighted efforts by countries in the Global South to address some of the key weaknesses in the international tax system that limit governments’ ability to tackle inequality and mobilise the revenue required to finance public services, development, climate action and gender equality. “While many Global North countries showed less ambition, supporting a robust outcome is in their own interest to unlock urgently needed public finance,” Alemayehu said. The GATJ called for continued momentum and stronger commitments as negotiations advance, stressing the need for countries to develop ambitious proposals that reflect the scale of challenges facing the global tax system. The next round of negotiations is scheduled to take place in Nairobi from November 30 to December 11. Ahead of the meeting, member states are expected to submit written comments on the draft text. An updated version of the Framework Convention is also expected before the Nairobi session, incorporating member states’ submissions and feedback from the latest negotiations. The GATJ urged governments to use the next phase of the process to advance bold proposals capable of delivering a more transparent, equitable and effective international tax system.
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