Shareholders of Amazon had asked greater tax clarity, according to a report
Shareholders of Amazon – The Financial Times reported on Sunday that twenty-four Amazon investors are urging the tech giant to boost openness in tax declarations and embrace a new reporting standard.
According to the Financial Times, investors are attempting to bring a shareholder resolution requesting a new tax reporting standard to the company’s annual meeting this year, citing a letter that will be delivered to the US Securities and Exchange Commission this week.
“Aggressive tax practises can expose a company — and its investors — to increased scrutiny from tax authorities, adjustment risks, and increased vulnerability to changes in tax rules as countries seek to protect their tax bases from deleterious practises,” investors wrote in a letter obtained by the Financial Times.
Shareholders of Amazon
According to the publication, the investors, which include asset managers Nordea and Royal London as well as many significant European and US pension funds, will force Amazon to release a transparency report based on the Global Reporting Initiative’s (GRI) tax standard.
A request for comment from Amazon was not immediately returned.
According to the Financial Times, the letter was signed by more than 100 organizations, including the New York City Office of the Comptroller and the UK’s largest private pension fund, Universities Superannuation Scheme.
Greater Manchester Pension Fund and Oblate International Pastoral Investment Trust filed a shareholder motion in December requesting Amazon to adopt the new GRI Tax Standard, which includes public country-by-country reporting of financial, tax, and labor data.
Read more Private Sector News on India Frontline.