Venice: The Minister of Finance of the G20 of the richest countries continued the discussion in Venice on Saturday to provide a green light to a historic agreement to impose multinational company tax more just.
The reform framework, including a 15 percent minimum global tax rate tax rate, agreed by 131 countries earlier this month and can be applied in 2023.
Praised by those involved as historic, he aims to prevent race under the country to compete to offer tax races The lowest to attract investment, with many multinational companies as a result that pays the derisori tax level.
“The minimum tax on this company must be ambitious,” French Finance Minister Bruno Le Maire told AFP on Friday, adding that the G20 meeting of countries with 19 of the largest economies and the European Union represented a unique opportunity.
Countries that represent 85 percent of global wealth are seeking an agreement “for the 21st century, which will enable fair taxation from digital giants that mostly escape taxation, which is unacceptable”, he said.
The final agreement on the minimum level is not expected until the G20 leader summit in Rome in October.
But Venetian talks are the opportunity to destroy further details and put pressure on those who have not registered with an agreement, hit under the auspices of the organization for economic cooperation and development (OECD) club 38 rich economics.
The United States, France, and Germany are some urgent countries for a higher level, while assistance institutions including Oxfam also argue that 15 percent are too low.
But with some countries against even for EU members Ireland lure Apple and Google to Dublin with a low tax rate, there may be no change at the level.
“We are really on the way” for the agreement that “will soon be resolved”, German Finance Minister Olaf Scholz told CNBC television.
The minimum level is expected to affect less than 10,000 large companies, those who have an annual turnover of more than 750 million euros ($ 890 million).
This is one of the two pillars of global tax reform that has been negotiated for years, and has been given a new encouragement under US President Joe Biden.
Others will give the state rights to impose multinational taxes about the benefits they obtain from their activities in this country, and at first it will apply to the top 100 or more companies.
It is targeted at technology giants such as Google, Amazon, Facebook and Apple, but also can affect companies such as Giant BP energy, which are present at 85 countries.
According to a draft obtained by AFP from the final statement, which is still discussed, the G20 ministers will “support” the OECD historic agreement on the more stable and fairer international tax architecture “.
The Minister of G20 is set to give a green light to global tax reform
