The potential use of tax money to rescue companies hit by the coronavirus-induced crisis has prompted calls on investors to up their game in scrutinising tax avoidance and promote transparency within their portfolio companies —even if this time the crisis is not of their own making.
The UK think tank High Pay Centre (HPC) floated recently the idea that “bailed out” companies should be required to commit to the Fair Tax Mark, which issues an accreditation that assess whether companies pay the right amount of corporation tax.
PIRC, the UK proxy and governance firm, told RI it is supportive of the ideas the HPC has put forward.
Paul Monaghan, CEO and Co-founder of the Fair Tax Mark, told RI: “Just before the crisis hit, we had our first FTSE-listed businesses approach us on the basis that it was suggested by investors that they pursue accreditation. We consider this a landmark moment.”
The Central Finance Board of the Methodist Church (CFB) is…