Wednesday, June 7 2017 17:04

ArmInfo. Armenian Finance Minister Vardan Aramyan  on June 7 in Paris will participate in the procedure of signing many-sided agreement of the convention  "On measures related to  the prevention of the destruction of tax base and the transfer of profits," the press service of the department informs.

The text of the convention was developed from the side of OECD within the program to prevent the destruction of the tax base and transfer (profit) of profit (BEPS). The signing of convention will allow setting single approaches to  the exclusion of double taxation, which will make struggle  against non- payment of taxes more effective. In addition, it will provide getting  a reputation of the reliable partner in international economic cooperation.

OECD Convention is a powerful instrument of international tax cooperation and to counter illegal financial flows. The Convention provides for various forms of administrative assistance in tax issues. Among them:  automatic exchange of information, exchange of information on demand, simultaneous / parallel tax audits, tax inspections abroad, as well as assistance in collecting taxes. The Convention should also provide guarantees for the protection of the rights of taxpayers. The Convention can also be used to expedite the implementation of transparency measures for BEPS. For example, such measures as automatic exchange of reports between the countries.

The Convention was developed jointly by the OECD and the Council of Europe in 1988, and in 2010 some amendments were made. These amendments were a response to the appeal of G20 countries to bring the Convention in line with international standards for the exchange of information and made the Convention open to all the  countries. This is important for strengthening the struggle  against tax evasion through offshore. Now all countries can join this OECD Convention. Including also, developing countries can benefit from a new, more transparent environment.