Multinational companies do not publicly report on where they are making their money or what taxes they are paying to whom. Investors, policymakers, and citizens have no idea exactly how they are gaming the system—what they tell us versus what they tell other countries. They should have to write it down in one place and report it on a country-by-country basis, so that the public, policymakers, and shareholders can see what they are really paying.
In this month’s edition of Just the FACTs, FACT releases analysis of new tax disclosures, and Treasury’s new money laundering risk assessment reaffirms many known threats, but downplays domestic shell companies.
New disclosure requirements show that huge American corporations lowered their tax bills by billions of dollars through the use of tax havens in 2025, while U.S. anti-abuse rules struggled to keep up.
New disclosures are shedding light on the large role that tax havens continue to play in shielding American multinational companies from effective taxation, SFRC clears the U.S. Legal Gold and Mining Partnership Act, and more in the latest Just the FACTs Newsletter.
The new tax information in companies’ annual financial reports represents an enormous improvement upon what was previously available, and is only the beginning of a wave of new disclosures pursuant to requirements advocated for by investors, FACT, and our allies.
Read FACT executive director Ian Gary’s new op-ed for Devex on the need for tax transparency in the fight against climate change.
“Deficit-laden global north donors are unlikely to change course in the short term. Thus, global south countries need new strategies to mobilize resources at home to close the climate finance gap. Yet to do so effectively, they need a fairer international corporate taxation system to bolster their own resources to battle climate change.”
Read FACT’s letter to Treasury Secretary Scott Bessent emphasizing the usefulness of Australia’s new public country-by-country reporting regime to investors and other stakeholders.
