The G20 Leaders’ Declaration was released after a summit, which took place from 18–19 November 2024 in Rio de Janeiro, Brazil.
Regarding taxation, the Declaration outlines the following points:
- We endorse the Rio de Janeiro G20 Ministerial Declaration on International Tax Cooperation. Progressive taxation is one of the key tools to reduce domestic inequalities, strengthen fiscal sustainability, foster budget consolidation, promote strong, sustainable, balanced, and inclusive growth, and facilitate the achievement of the SDGs. We applaud domestic tax reforms carried out by several G20 members to tackle inequalities and promote fairer and more progressive tax systems recently and recognise that improving domestic resource mobilisation is important to support the SDGs.
- With full respect to tax sovereignty, we will seek to engage cooperatively to ensure that ultra-high-net-worth individuals are effectively taxed. Cooperation could involve exchanging best practices, encouraging debates around tax principles, and devising anti-avoidance mechanisms, including addressing potentially harmful tax practices. We look forward to continuing to discuss these issues in the G20 and other relevant forums, counting on the technical inputs of relevant international organisations, academia, and experts. We encourage the Inclusive Framework on BEPS (IF) to consider working on these issues in the context of effective progressive tax policies.
- We welcome the progress made on the Two-Pillar Solution under the IF. We reiterate our commitment to the October 2021 Statement of the IF and to the swift implementation of the Two-Pillar Solution by all interested jurisdictions, including expeditious negotiations on the final package of Pillar One. Our international tax cooperation should be inclusive and effective and aimed at reaching broad consensus, maximising synergies among the existing international fora, while seeking to avoid unnecessary duplication of efforts. We continue constructive discussion at the United Nations on the development of a Framework Convention on International Tax Cooperation and its protocols.
