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Amazon shareholders call for tax disclosures - adviser

Investors file shareholder proposal for Amazon tax disclosures-PIRC
Investors file shareholder proposal for Amazon tax disclosures-PIRC   -   Copyright  Thomson Reuters 2021   -  
By Reuters

<div> <p><span class="caps">LONDON</span> – Two Amazon shareholders have called on the tech giant to disclose global tax practices and risks to investors, shareholder adviser <span class="caps">PIRC</span> said on Friday, as investors step up demands for greater tax transparency from large corporations.</p> <p>Greater Manchester Pension Fund and the Oblate International Pastoral (<span class="caps">OIP</span>) Investment Trust have filed a shareholder proposal urging Amazon to implement the new <span class="caps">GRI</span> (Global Reporting Initiative) Tax Standard, including public country-by-country reporting of financial, tax and worker information. </p> <p>It is the first resolution of its kind filed in the United States, <span class="caps">PIRC</span>, which advises investors on how to vote on shareholder resolutions, said in a statement.</p> <p>“Public country-by-country reporting will allow investors to better understand Amazon’s business model and tax planning strategy and ensure that its growth fairly contributes to the communities in which it earns its profits and doesn’t unfairly undercut those companies taking a responsible approach to tax planning,” said Seamus Finn, chief of faith consistent investing at <span class="caps">OIP</span> Trust.</p> <p>The size of the investors’ Amazon shareholdings was not immediately available.</p> <p>Governments and investors have been pushing for more clarity on taxes from multinational corporations.</p> <p>A global deal to ensure big companies pay a minimum tax rate of 15% and make it harder for them to avoid taxation was agreed in October by 136 countries.</p> <p><span class="caps">PIRC</span> said it was supporting the filing of the Amazon proposal as part of a new initiative with the Centre for International Corporate Tax Accountability and Research to engage with companies in sectors with a history of aggressive tax avoidance.</p> <p>Danish pension fund AkademikerPension, with $23 billion in assets under management, has declared its intention to vote in favour of the proposal, <span class="caps">PIRC</span> said. AkademikerPension has filed shareholder proposals for implementation of the <span class="caps">GRI</span> Tax Standard at five Danish companies.</p> <p>Shareholders vote on proposals at company annual general meetings. </p> <p/> </div>