On country by country reporting

Ritchie\’s idea about multinationals is that we should insist that they report their accounts as if they are a series of independent and separate organisations: that is, that they are contractors in a market not integrated companies.

From this year\’s Nobel for economics:

Williamson’s theory of vertical integration clarifies why firms are essentially different from

If they are \”essentially different\” then they should be taxed differently, no?

So that\’s that idea dealt with then.

1 thought on “On country by country reporting”

  1. Tim-

    It’s important to remember why Dickie argues for country-by-country reporting. Rather than argue that country-by-country reporting would make the financial statements more useful to the readers of those financial statements (owners and investors), he argues that country-by-country reporting will uncover TAX AVOIDANCE. In other words, he wants the information so he can argue that multinationals aren’t paying their “fair share” of taxes in selected (selected by Dickie) countries. Therefore, how one characterizes any particular multinational in any particular country is of no interest to Dickie… The only thing that interests him is identifying opportunities to tax.

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