As countries make historic transactions, large corporations will finally be forced to pay a significant portion of their taxes.
“Landmark Plan”: Prime Minister Rishi Sunak welcomes international agreement on corporate tax
A historic international agreement will be undertaken to impose a fair tax burden on large corporations.
The deal, which was agreed in June in principle, was upheld last night after Ireland, Estonia and Hungary agreed to sign.
It sets a minimum corporate tax rate of 15 percent, allowing the government to tax a larger share of profits from foreign companies in the country in which they are made.
Prime Minister Rishi Sunak, who chaired the G7 negotiations in the summer, welcomed the “breakthrough plan.”
The UK corporate tax is currently set at 19% and will be raised to 25%.
He states: “We now have a clear path to a fairer tax system.
The agreement aims to reduce taxation on multinational corporations and end the 40-year race to the bottom by governments seeking to attract investment and employment by shopping at low tax rates.
The Organization for Economic Co-operation and Development believes that the new rates will generate approximately £ 110 billion annually for each country.
Countries carry out historic minimum corporate tax transactions
https://www.dailymail.co.uk/money/markets/article-10074017/Nations-strike-historic-minimum-corporate-tax-deal.html?ns_mchannel=rss&ns_campaign=1490&ito=1490 Countries carry out historic minimum corporate tax transactions