As the world’s wealthiest economies gather in South Africa throughout its G20 Presidency, citizens, civil society, and social movements should ask, “Who profits from a weak international taxation system?”. The current international tax system suffers from loopholes and biases that enable the super rich and multinational corporations (MNCs) to shift their profits to tax havens, at the expense of public health, education, and infrastructure.
In 2024 alone, cross border tax abuses have caused an estimated US$492 billion in global revenue losses for governments. These abuses limit governments’ access to life-changing revenue, which can be used to improve people’s lives. South Africa’s G20 presidency presents a unique opportunity to champion tax justice and shape a path towards a more equitable international tax system.
Why do we need a just international taxation system now?
Extreme concentration of wealth and increasing inequality: In 2024, global billionaire wealth increased three times faster than in 2023, while global poverty levels have remained relatively the same in the last 40 years. Billionaires like Elon Musk, Jeff Bezos, Mark Zuckerberg, Jensen Huang, and Bernard Arnault are projected to become trillionaires within the next decade. At the same time, 20% of Africa’s population still goes to sleep hungry. South Africa is a mecca of inequality, with the top 10% of its population holding 86% of the aggregate wealth.
This explainer discusses three key issues: First, why there has been an effort to reform the global tax system and advocate for tax justice. Second, what has been on the G20 agenda related to international taxation? Lastly, issues beyond the G20 agenda are crucial to global taxation.
Learn more
Explore the full findings and recommendations in the IEJ’s G20 International Taxation Factsheet.
Other factsheets in the 2025 G20 series include:
- What is the G20?
- African debt crisis
- Food security
- Fossil phase out
- Climate financing
- Green industrialisation
- Universal social floors
- Women empowerment