The UN Committee of Experts on International Tax Matters made key changes to global tax policies during its 30th session, which was held from 24 to 27 March 2025 in New York.
About the Committee
The Committee comprises 25 members, nominated by governments and selected by the UN Secretary-General, who act in their expert capacity. Members represent diverse tax systems and geographical regions, with a gender balance.
The Committee:
- Focuses on creating practical guidance for governments and tax administrators, with special attention to developing countries’ needs and priorities. The Committee helps countries combat tax evasion, aggressive tax avoidance, and other illicit financial flows.
- Develops tools to address both traditional challenges like double taxation and double non-taxation, as well as emerging tax risks in areas such as the digitalized economy and crypto assets.
- Provides concrete guidance toward strengthening tax policy and administration, improving domestic resource mobilization, and supporting sustainable development worldwide, while recognizing diverse realities and capacities among different tax systems.
Key highlights from the session include:
Source-based taxation
The committee approved changes to the UN tax treaty to expand taxes on global airlines and shipping firms based on where trips start and end.
Transfer pricing
The committee approved extended provisions on transfer pricing, addressing challenges in valuing intangible assets in a digitalised economy. Concerns were raised about the complexity of transfer pricing documents, and proposals were discussed to simplify the process.
Tax transparency
The committee approved guidance to help countries establish an Exchange of Information (EOI) network, including strategies to raise awareness about EOI.
Net wealth tax law
The committee developed a model net-wealth tax law to guide countries in creating domestic legislation. It included recommendations for defining net wealth, exemptions, taxable assets, valuation rules, rates, and coordination with other taxes.
Crypto asset taxation
The committee approved a toolkit offering guidance for governments on mitigating crypto asset taxation risks. It addresses source and location issues and the taxation of crypto assets in relation to debt, equity, hybrid instruments, and financial instruments like derivatives.
