After several years of negotiations, the final agreement on a taxation of multinationals has been finalized, Friday, October 8. India has accepted this text in extremis. It must be validated at the G20 summit in Rome, at the end of October.
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Twenty days of ultimate knife negotiations, diplomatic tensions at the highest level, crossed calls from one end of the planet and tactics on the stiff rope, arbitrated by the cooperation organization and economic development (OECD): it was necessary to give birth to a global minimum tax on the largest and most profitable multinationals including, at the beginning, few states wanted.
This Friday, October 8, the final project that sets the calibration of the first tax rules carved for the globalized economy is ready, in the smallest detail. It may therefore be submitted, as expected, to the downstream of the heads of state and Government of the G20 (the 19 richest countries, plus the European Union) at the Rome Summit, which must be held on the 30th and October 31st.
The introduction of a global minimum rate, conceived as a weapon against tax havens and dumping strategies, is the nervical point of this reform. Now, according to the compromise torn off by the OECD, it is fixed at 15%, with, highlight the negotiators, “a robust base and limited exemptions”, and do not forget any GAFA (American giants of technology, Google , Apple, Facebook and Amazon).
With 136 signatory countries including the United States, China and India, rallied in extremis a few minutes before the compromise formalization, the Agreement on the Future Tax Reform unveiled Friday is truly global. Four countries are missing from the call: Kenya, Nigeria, Pakistan and Sri Lanka. Ireland, Hungary and Estonia, for their part, also signed late.
If it applies as expected by 2023, this minimum tax will return $ 150 billion (€ 129 billion) in the crates of the states each year. A welcome resource for public finances on the planet, asphyxiated by health post-crisis recovery plans. According to the International Monetary Fund (IMF), the advanced countries spent 6% of their gross domestic product at 2020 to support their economy.
Important concessions
Admittedly, important concessions were made to board the maximum country aboard the agreement to achieve this compromise. Thus, on the ruler, the global minimum tax cursor stopped at 15%, so below the formula of “at least 15%” envisaged, which clearly allowed the door open to a future recovery of the rate. . Transitional exemptions are planned, but limited by amount.
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