IBFD and Intra-European Organisation of Tax Administrations (IOTA) have agreed to work together to increase the capacity of tax administrations in sharing technical knowledge in cross-border taxation issues. The two organizations will also facilitate a dialogue between tax administrations and businesses. The first event of the cooperation will be a digital forum on “Facilitating tax compliance of the Tourism industry in (post) COVID-19 times”.
After many years of successful cooperation, IBFD and IOTA signed a Memorandum of Understanding (MoU) on Cooperation during a virtual signing ceremony on 5 November 2020. The MoU aims at strengthening the capacity of tax administrations to share technical knowledge in cross-border taxation issues and facilitating a dialogue between tax administrations and businesses.
IOTA’s main mission is to provide a platform for its members to exchange experience and best practices that can improve the practical aspects of tax administration.
Prof. Dr Victor van Kommer, Director of Tax Services of IBFD in his speech during the ceremony highlighted that in the space of more than 80 years IBFD has built a strong knowledge base in cross- border taxation. In a vast number of economies, 2% of large taxpayers are contributing more than 60% of total revenues through a variety of taxes such as corporate income tax, VAT and wages withholding tax. These taxpayers are, by nature, global players and this is where IOTA and IBFD can strengthen the cooperation.
In his speech, Prof. Dr van Kommer also recalled his personal attachment to IOTA, having played a key role in conceptualizing IOTA in 1996. He also emphasized that “an engagement is always based on the conceptual idea that together you are stronger than alone.”
During the event, Mr. Georgios Pitsilis, President of IOTA, pointed out the importance of the cooperation and highlighted that “IOTA members will benefit from our cooperation with IBFD in terms of improving the knowledge of tax officials on international taxation matters through participation in the joint events as well as accessing the publications produced from joint research work. Furthermore, the cooperation with IBFD will offer opportunities for IOTA member tax administrations to make better use of discussions with the international business community and tax professionals in understanding compliance problems and developing innovative solutions for taxpayers to increase tax certainty and reduce administrative burden.”
Mr. Pitsilis also explained that the two organizations would begin executing their cooperation with the events under the “Business Meets Tax Authorities” programme. The first event of this series is going to be held virtually on 3 March 2021 and it will focus on the theme “Facilitating tax compliance of the Tourism industry in (post) Covid-19 times”.
After their speeches, Mr. George Pitsilis and Prof. Dr Victor van Kommer signed the MoU on cooperation. This MoU is signed for a period of three years.