Global corporate tax: UK wants to save funds

Brexit is It transformed the status of London and its financial district, the City, into a European business capital. Eager to maintain a presence in the EU, many companies have packed their bags for the continent, Especially for the benefit of Amsterdam.

United Kingdom, whose The potential taxation is scary Who face tough questions According to her «Treasure Islands, Arguments are therefore needed in order for its capital to be competitive and to sustain the financial decline represented by its capital business district. British Economy Minister Rishi Sunak has called for the finance ministry to be there Exemption from the international tax scheme recently launched by the G7 Finance Ministers.

The leaders and ministers of the seven countries met precisely in London ahead of the meeting Agreed to an international plan that would allow companies to tax their profits at a minimum rate of 15%S, Than where they live.

In theory, this would make it possible to combat deportation and financial waste, so that each nation would end its “bottom-up race” to reduce its taxes in order to attract multinational corporations.

GAFA, the real goals of the agreement

The deal is now due to be discussed at the G20 Fund in July. It is during these discussions that Sunak wants to persuade his colleagues to exempt international banks and financial institutions from this international tax treaty. He is The exact definitions of its project have not yet been specified, For example, insurance and investment and speculative funds are exempt.

European countries can accept this compromise because the main advantage of this agreement is that they will succeed in taxing technology companies. Amazon And Google In particular, pay the lowest taxes on the continent, despite the billions in profits.

However, the United States does not want a deal that targets American companies too explicitly. However, Joe Biden is the real machine behind the reform: it’s his election And the work of Janet Yellen, US Secretary of the Treasury, who allowed the contract to be returned to the G7 Schedule. Despite the circumstances that prevented Donald Trump.

The contracts and the reasons for excluding banks and other financial institutions are also detailed The “first pillar” of the proposed OECD tax plan. The organization believes that banks are already heavily taxed and regulated and that their complex operation makes it difficult to use taxes based on the country in which they make a profit.