Pandora's box: Why pressure for tax transparency will only increase

THE release of the Pandora Papers in October has helped bring global exposure to previous financial secrets of around 3 dozen current and former world leaders, plus more than 330 politicians and public officials in over 90 countries and territories, and a global lineup of other prominent figures.

The impact has already been significant, not least with the revelations potentially helping influence the result of last month's close election in the Czech Republic after billionaire (and now-outgoing Prime Minister) Andrej Babis was named in the disclosures. Yet, the aftershocks continue. In the United Kingdom, for instance, the opposition Labour Party is seeking to bring pressure on the government on this issue. It is calling for ministers to undertake several commitments, including registration of the overseas entities bill to show the true nature of ownership of property and other UK assets.

Another measure advocated is reforming use of so-called shell companies that help drive the secrecy outlined in the Pandora Papers. The goal here is to enhance transparency of ownership so this is not hidden behind layers of shell companies whose purpose may be to obscure this from public view.