The Organisation for Economic Cooperation and Development (OECD) published a report on 15th April 2020 for the attention of the G20 finance ministers and central bank governors on tax and financial policy in response to the Corona crisis.
The report discusses how fiscal and fiscal policy can cushion the impact of continued containment policies and subsequently support economic recovery. The report shows that while many governments have taken rapid, comprehensive and often unprecedented action, supporting the most vulnerable households and businesses remains a challenge. The report also points out that a gradual easing of the containment may require expansionary fiscal policies for a longer period of time. The unprecedented nature of the crisis should spark a debate on how far-reaching tax reforms, including solidarity taxes, carbon taxes and support for greater progression across the tax system, can help governments better balance public finances.
The OECD Communication is available here.
