Introductory Note to the Bureau’s Proposal for the Revised Draft Terms of Reference for aUnited Nations Framework Convention on International Tax Cooperation by the Chair of theAd Hoc Committee, Mr. Ramy M. Youssef, 18 July 2024
In preparation for the Second Session of the Ad Hoc Committee to Draft Terms of Reference fora United Nations Framework Convention on International Tax Cooperation, a Bureau’s proposalfor the “zero draft ToR” was released for comment on 7 June 2024. The over 100 inputs received
from Member States and other stakeholders are posted in their original language on theCommittee website.
Following on the Committee’s First Session and the written input received on the zero draft, thetwenty-member Bureau of the Committee has been working to prepare a revised draft ToR,
which will be the basis for the discussions and negotiations during the Second Session of theCommittee, to be held at United Nations Headquarters in New York from 29 July to 16 August2024.
With great appreciation for the work of all Members of the Bureau, and for all Member Statesand stakeholders for their inputs, I share the Bureau’s proposal for the revised draft ToR. Thisrevised draft ToR reﬂects the Bureau’s eﬀorts to achieve consensus on the draft text to be put
before the Committee for discussion, yet it does not necessarily represent the unanimous viewof all Bureau Members.
To deliver on the Committee’s mandate in accordance with General Assembly resolution
78/230, the revised draft ToR set out the basic parameters and mechanisms of a United Nations
Framework Convention on International Tax Cooperation. The Committee aims to provide
guidance to the negotiation of the framework convention without unduly limiting ﬂexibility.

This draft does not necessarily represent the unanimous view of all Bureau members.
Revised Draft Terms of Reference for a United Nations Framework Convention on International Tax
Cooperation

Introduction
1. In adopting resolution 78/230, “Promotion of inclusive and eﬀective international tax cooperation atthe United Nations,” the General Assembly emphasized that developing a United Nations framework
convention on international tax cooperation is needed in order to strengthen international tax
cooperation and make it fully inclusive and more eﬀective.
2. The General Assembly recognized in the resolution that developing a framework convention will also
help in accelerating the implementation of the Addis Ababa Action Agenda on Financing forDevelopment and the 2030 Agenda for Sustainable Development.
3. Therefore, the General Assembly established a Member State-led, open-ended ad hocintergovernmental committee for the purpose of drafting terms of reference for a United Nations
framework convention on international tax cooperation.
4. The General Assembly further requested that the ad hoc intergovernmental committee submit areport to the General Assembly at its seventy-ninth session, containing the draft terms of reference for a
United Nations framework convention.
5. The ad hoc intergovernmental committee, having completed its work in accordance with thismandate, now recommends for consideration by the General Assembly the following draft terms ofreference for a United Nations framework convention on international tax cooperation:
Preamble
6. The text of the framework convention should be reﬂective of the following General Assembly
resolutions:
78/230 of 22 December 2023 on “Promotion of inclusive and eﬀective international
tax cooperation at the United Nations”;
77/244 of 30 December 2022 on “Promotion of inclusive and eﬀective international
tax cooperation at the United Nations”; and69/313 of 27 July 2015 on the Addis Ababa Action Agenda of the Third International
Conference on Financing for Development.
Objectives

7. A United Nations framework convention on international tax cooperation should include a clear
statement of its purposes. In that regard, it should:a.
Establish fully inclusive and eﬀective international tax cooperation in terms ofsubstance and process;b.
Establish a system of governance for international tax cooperation capable ofresponding to existing and future tax and tax-related challenges on an ongoing basis, while
respecting the tax sovereignty of each Member State;c.
Establish an inclusive, fair, transparent, eﬃcient, equitable, and eﬀective
international tax system for sustainable development, with a view to enhancing thelegitimacy, certainty, resilience, and fairness of international tax rules, while addressing
challenges to strengthening domestic resource mobilization.
Principles
8. A United Nations framework convention on international tax cooperation should include a clear
statement of the principles that guide the drafting and implementation of the convention so that itachieves its objectives.
9.

Eﬀorts to achieve the objectives of the framework convention therefore should:- be universal in approach and scope and should fully consider the different needs, priorities, andcapacities of all countries, in particular countries in special situations;- recognize that every Member State has the sovereign right to decide the policies and practices of
its domestic tax system, and the responsibility to ensure that such policies and practices do notundermine the effectiveness of the tax base or system of other Member States;- be fully aligned with international human rights law and States’ existing commitments underhuman rights conventions to respect, protect and fulfil all human rights for all people in all
countries;- take a holistic, sustainable development perspective that covers in a balanced and integrated
manner economic, social and environmental policy aspects;- be sufficiently flexible, resilient and agile to ensure equitable results as societies, technology andbusiness models and the international tax cooperation landscapes evolve;- ensure fairness in allocation of taxing rights under the international tax system that contributes toachieving sustainable development;- provide for rules that are as simple and easy to administer as the subject matter allows;- increase certainty for taxpayers and governments; and- require transparency and accountability of all taxpayers.
Substantive elements of the Framework Convention
10. The framework convention should include commitments on:[fair allocation of taxing rights, including equitable taxation of multinational enterprises;
eﬀective taxation of high-net worth individuals;
ensuring that tax measures contribute to addressing environmental challenges;
eﬀective transparency and exchange of information for tax purposes;
eﬀective prevention and resolution of tax disputes; andsuch other subjects as are necessary or appropriate for the framework convention to achieve itsobjectives.]
Capacity building
11. Respect for tax sovereignty implies that inclusive and eﬀective participation in international tax
cooperation requires procedures that take into account the diﬀerent needs, priorities and capacities of
all countries to meaningfully contribute to the norm-setting processes, without undue restrictions, andsupport them in doing so, including giving them an opportunity to participate in agenda-setting, debatesand decision-making, either directly or through country groupings, according to their preference.
12. The framework convention therefore should include provisions regarding the entity or entities thathave primary responsibility for, and funding for, supporting Member States, especially developing
countries, in their eﬀorts to build capacity on relevant international tax practice and related issues toensure that they have adequate capacity to participate eﬀectively in international tax cooperation and toimplement the framework convention.
Structural elements of the Framework Convention
13. The framework convention should also include the following additional substantive and proceduralelements: deﬁnitions; relationship with other agreements, instruments and domestic law; review andveriﬁcation; exchange of information (for implementation of the framework convention); data collection
and analysis; ﬁnancial resources and mechanisms; Conference of the Parties; Secretariat; subsidiarybodies; dispute settlement mechanisms; and procedures for amendments to the framework convention
and adoption of protocols.
Speciﬁc priority areas to be addressed in early protocols
14. [Early protocols on a small number of speciﬁc priority areas should be developed simultaneouslywith the negotiation of the framework convention. The subjects for these early protocols should be
drawn from the following speciﬁc priority issues:
taxation of the digitalized and globalized economy;
taxation of income derived from cross-border services;tax-related illicit ﬁnancial ﬂows;
prevention and resolution of tax disputes; andtaxation of high-net worth individuals.]
15. The following additional topics might be the subject of future protocols under the terms of theframework convention:
tax measures on environmental and climate challenges;
exchange of information for tax purposes;
mutual administrative assistance on tax matters; andharmful tax practices.
Approaches and time frame for negotiation
16. The framework convention should be elaborated by a Member State-led negotiating committee. Theintergovernmental negotiating committee would be convened in New York and initially in 2025 and 2026
meet for [number] sessions, of a duration of [number] working days each, and make all eﬀorts tocomplete its work and submit the ﬁnal text of the framework convention and of early protocols to theGeneral Assembly for consideration [at its [81st] Session].
17. The intergovernmental negotiating committee should begin negotiating the early protocols
described above at the same time as it begins the negotiation of the framework convention, with theaim of ﬁnishing the negotiation of such protocols no later than six months after the conclusion of thenegotiation of the framework convention, to optimize coordination between the documents.
18. The bureau of the intergovernmental negotiating committee should consist of a chair, three vicechairs and a rapporteur, elected on the basis of equitable geographical representation.
19. Member States should be fully engaged in the negotiation of the framework convention andendeavor to ensure continuity in their representation.
20. Throughout its work, the intergovernmental negotiating committee should take into consideration
the work of other relevant forums, potential synergies and the existing tools, strengths, expertise andcomplementarities available in the multiple institutions involved in tax cooperation at the international,regional and local levels.
Resources to support the work of the negotiating body
21. The Secretary-General should be requested to provide the intergovernmental negotiating committeewith the necessary facilities and resources, including technical secretariat from the Department for
General Assembly and Conference Management and substantive secretariat from the Department of
Economic and Social Aﬀairs, to support its work.

22. Member States and other relevant stakeholders in a position to do so should be encouraged to assist
in ensuring the full and eﬀective participation of developing countries, including in particular the least
developed countries, in the negotiation of the framework convention, including by covering travel andlocal expenses and through capacity-building.