The Transparency Principle in a Tax Administration

The principle of transparency refers to the fact that all the actors involved in a transaction with the administration can check its sources, including returns, accounting statements and process data, depending on their level of responsibility in it.

This principle does not contradict the fiscal secrecy since it does not propose exposing the economic actor but simply allowing him to share the information held in the administration about himself.

The advantages derived from this principle are much greater than its disadvantages, among which we can mention:

1. allows a cross and detailed control, significantly improving the efficiency of the tax administration.
2. facilitates communication between the economic actor and the administration, since both parties can freely consult all the events that have taken place.
3. greatly restricts the arbitrariness perceived by economic actors.

Of course, the application of this principle can be intimidating at first if it has never been implemented, but the truth is that its long-term benefits fully justify its incorporation.

This and other principles are available in the book Principios de Administración Tributaria published by Thomson Reuters - La Ley.