>> So clearly international tax has become a political item on the agenda,
the political agenda, and that's very significant.
This has taken place for the past six years or so since the crisis hit.
We saw it through the fight against bank secrecy, to start with the fight,
that some individuals could hide money in bank secrecy states or jurisdictions.
And that has now come to an end or it's beginning of the end with automatic
exchange of information which is becoming a standard, and why is it the case?
It is because governments,
politicians Leaders of the G20, leaders of countries, cared about that.
And they have made sure that changes would occur in this international tax area.
But now it has shifted to multinational companies tax planning,
as a political element of the debate which is extremely interesting, why is it so?
Because you have governments which have increased taxes on
the local factors of production.
Labor mainly, through deity, through personal income tax and
at the some time you have stories in mainstream medias.
Stories which say, well, a large multinationals can reduce their tax burden
very significantly, because of loopholes in the international tax framework.
You're a politician,
you just can not face this situation whether you're right wing or left wing.
And what is extremely interesting is that this is
a bipartisan type of debate including in the United States where there
is an agreement that the level of corporate income tax is too high.
But that the base is much too narrow, that there is effective BAPS base erosion and
profit shifting.
So in all the countries across the world, you have this bilateral debate,
or this bipartisan debate, saying we need to fix international tax rules.
We need to fix our domestic rules, so
that we don't facilitate tax spending, massive tax spending for campaigns.
So it's a highly politically sensitive issue
that we have used at handling through the project, which is called BEPS.
Fighting base erosion and profit shifting to make sure that we realign
the location of the activities with the location of the profits.