Shareholder resolutions demand end to secretive tax practices to combat inequality and promote sustainability
Ahead of the Chevron and Kosmos annual general meetings, Oxfam, a global organization fighting inequality to end poverty and injustice, is calling on shareholders to vote in favor of tax transparency measures that would mitigate risks associated with aggressive tax avoidance practices.
Oxfam’s shareholder resolutions emphasize the critical importance of public country-by-country reporting (pCbCR) and adopting the Global Reporting Initiative’s (GRI) tax standard to align with peers like Shell and BP. Investors with combined assets exceeding $10 trillion support these transparency initiatives, stressing their significance in providing financially material information. Oxfam has previously filed similar resolutions with ExxonMobil and ConocoPhillips, but those companies appealed to the SEC to have the resolutions excluded on procedural and substantive grounds.
“The era of corporate secrecy is over,” said Aubrey Menard, Oxfam America’s Senior Policy Advisor for Natural Resource Justice. “In today’s global context, investors are becoming more and more discerning about where their money is going. Shareholders deserve to know if the profits they share in are genuine and sustainable, and transparent tax practices are essential for building trust among investors and the public.”
Tax avoidance undermines governments' abilities to fund infrastructure, fund essential services, and combat the climate crisis. Companies like Chevron and Kosmos operate in many countries outside of the U.S. yet refuse to publicly report on their tax practices in those regions. This lack of transparency leaves shareholders guessing whether profits stem from genuine commercial success or risky tax strategies, which pose long-term sustainability and legal risks.
Chevron has repeatedly faced tax controversies globally, leading to significant settlements, including a $268 million settlement in Australia for using offshore entities to underpay taxes. Kosmos identifies the Cayman Islands—a well-known tax haven—as a business jurisdiction without oil and gas operations, raising concerns over its tax strategies.
This marks the second year in a row that Oxfam America has filed tax transparency resolutions with oil and gas supermajors. The resolutions will be put to a vote during the annual general meetings of Chevron and Kosmos on May 29 and June 6, respectively.
/ENDS