Global Firms’ Profit Shifting Shows Need for New Tax Rules: OECD

New data shows the extent to which multinational companies shift profits around the globe to avoid tax, increasing pressure on international efforts to rewrite rules for a digital era, the OECD said.

For the first time, the Paris-based organization published aggregate data on the activities and taxes of 4,000 multinationals. Overall, profits reported in low tax countries are much higher relative to economic activities than in larger nations.