Corporate taxation practices are attracting growing scrutiny. What are the investment implications?
- Over the last decade or so, corporate taxation practices have attracted growing scrutiny from the media, civil society and the broader public.
- More recently, the shareholder primacy model has been challenged, while governments have taken action against large multinational corporations in relation to tax practices.
- We believe that an excessively aggressive approach to taxation, or one that is not aligned to the expectations of regulators and the public, has the potential to result in lasting damage for companies.