The rules of play for the UN Convention on International Tax Cooperation have been defined and will be sent to the General Assembly for approval. Adopted by 110 votes to 8, the Terms of Reference include human rights as a core principle. CESR applauds the work of the Ad Hoc Committee in maintaining a delicate balance: They successfully brought together diverse views while keeping the Terms ambitious. The goal is to promote inclusive, effective tax cooperation where countries can participate equally, guided by fairness.
The approval of the Terms of Reference for the United Nations Framework Convention on International Tax Cooperation marks a key milestone in the journey towards more inclusive, fair, and effective global tax cooperation. After three weeks of intense engagement, debates, and reason-giving, Member States have demonstrated their commitment to crafting a framework that reflects the diverse needs and priorities of all countries, especially those from the Global South. This was a significant accomplishment, as many delegations worked tirelessly in New York, negotiating and compromising to ensure that the voices of all nations were heard and respected.
The Terms of Reference establish that the Convention will be guided by principles of universality and inclusivity, alignment with international human rights law, and a holistic approach that integrates economic, social, and environmental policies, among other things.
"A UN Tax Convention will enable inclusive and effective international tax cooperation. These Terms of Reference reflect an ambitious compromise that all countries must support to generate financing for development to fulfill their human rights obligations and combating illicit financial flows following the principles of universality, transparency, accountability, and fairness,” stated CESR’s Executive Director, Dr. Maria Ron Balsera.
This comes after decades of civil society work for tax justice, driven by the tireless efforts of activists, scholars, and organizations around the world. These groups have long advocated for tax systems that are more equitable, transparent, and accountable, emphasizing the crucial link between fair taxation and the realization of human rights. Civil society has exposed the injustices perpetuated by current global tax practices that lead to half a trillion US dollars lost to global tax abuse every year. “Low- and middle-income countries have historically been the most affected by the corrosive effects of tax abuse. This deprives their governments of the resources needed to provide quality public services, fulfill human rights obligations, promote gender equality, and finance climate resilience and adaptation,” Dr. Maria Ron Balsera added.
After the General Assembly's vote, and if the Terms of Reference are approved, a Member-State-Led committee will develop the Framework Convention. The committee is expected to meet three times a year from 2025 to 2027, with each session lasting up to 10 days. The goal is to complete the Framework Convention and two key protocols before September 2027, when they will be submitted to the General Assembly for approval.
CESR calls on all Member States to approve the Terms of Reference. We and our allies will continue to follow the negotiations in the following years, ensuring the voice of global civil society is heard and that the new Framework Convention will be a historic instrument to resource the rights of everyone, everywhere.