Tax is a crucial part of the ESG conversation
Tax is becoming a crucial part of the ESG conversation and a core component of ESG reporting metrics - and while that brings challenges it also brings real opportunities. A company’s approach to tax is no longer just a question of compliance. In the context of the environmental, social and governance (ESG) imperative, it is becoming a powerful indicator of how a business views its role in society and its commitment to its purpose.
Companies today need to take control of their tax narrative, addressing issues that matter to more stakeholders and building trust by connecting their ESG priorities, values and long-term strategies. By viewing tax through an ESG lens, companies can move the conversation beyond corporate income tax and address wider stakeholder needs.
In a new article, Willam Morris and Edwin Visser from our Global Tax Team share new insights, and explore four key areas where tax leaders can focus to bring trust:
- Understanding and collecting company data using an ESG lens
- Collaborating and consulting across all lines of business
- Communications - How to present the data
- Benchmarking - Against peers and over time as stakeholder demands change
