Post by account_disabled on Mar 9, 2024 0:04:52 GMT -5
In the last meeting held by the G20 finance ministers and central bankers to ensure that multinationals pay taxes in those countries where they operate, it was agreed to apply a minimum corporate rate of at least 15% to companies with a turnover higher than the 750 million euros. It is true that the agreement could be classified as historic due to the difficulty in reaching a consensus among the countries of the Inclusive Framework on BEPS. The agreement pivots on the fundamental elements of the two pillars: the reallocation of profits of multinational companies and a global minimum tax, the final details of which must be finalized in the Inclusive Framework before the next G20 meeting. We, at Gestha, advocated a minimum rate of 21%, in line with the EC, with which Spain would raise 5.4 billion euros per year. Now, with 15% it seems that we will only earn 700 million, a figure lower than the estimated collection by the Government of 968 million for the Tax on certain digital services, colloquially known as the Google Tax, which is why the EC tries to maintain that tax at the European level, although its processing has been postponed to facilitate international consensus on this agreement.
It is evident that steps are beginning to be taken towards a new paradigm in the global corporate tax to adapt it to the current social, economic and business environment. But beyond the possibility of increasing our collection at a time as critical from a budgetary point of view as the current one, we see the distribution formula Australia Phone Number of these new income as problematic, since each country will apply the minimum rate to its own multinationals where they are located. their headquarters, so the additional revenue will basically reach the G7 and EU countries, while this distribution will barely reach those countries where the multinationals are producing or obtaining their sales and profits. And among the latter, India, Brazil, Colombia, Peru, Mexico, Argentina, Angola, Gabon, Kenya and South Africa stand out. Hence, a consultation is currently taking place with developing countries on the evaluation of the agreement reached before the next G20 meeting, scheduled for October.
From Gestha we have been asking the European Finance Ministers to promote a more ambitious global tax agreement for multinationals with which to accelerate the recovery, after the European Parliament and the Council agreed to force large corporations to publish, country by country, the benefits they obtain and the taxes they pay. But regardless of the lights and shadows, it is evident that steps are beginning to be taken towards a new paradigm in the global corporate tax to adapt it to the current social, economic and business environment. And, of course, to make it more fair and equitable than currently. Carlos Cruzado | President of the Treasury TechniciansOr as they say “to prevent the annual revaluation factor from being contaminated by the economic cycle” (p. 39). They will not achieve it because, good neoliberals but terrible economists, they do not take into account the economic worsening via Consumption as a consequence of the decrease in pensions if, as the Rajoy government intends, to pay fewer pensions.
It is evident that steps are beginning to be taken towards a new paradigm in the global corporate tax to adapt it to the current social, economic and business environment. But beyond the possibility of increasing our collection at a time as critical from a budgetary point of view as the current one, we see the distribution formula Australia Phone Number of these new income as problematic, since each country will apply the minimum rate to its own multinationals where they are located. their headquarters, so the additional revenue will basically reach the G7 and EU countries, while this distribution will barely reach those countries where the multinationals are producing or obtaining their sales and profits. And among the latter, India, Brazil, Colombia, Peru, Mexico, Argentina, Angola, Gabon, Kenya and South Africa stand out. Hence, a consultation is currently taking place with developing countries on the evaluation of the agreement reached before the next G20 meeting, scheduled for October.
From Gestha we have been asking the European Finance Ministers to promote a more ambitious global tax agreement for multinationals with which to accelerate the recovery, after the European Parliament and the Council agreed to force large corporations to publish, country by country, the benefits they obtain and the taxes they pay. But regardless of the lights and shadows, it is evident that steps are beginning to be taken towards a new paradigm in the global corporate tax to adapt it to the current social, economic and business environment. And, of course, to make it more fair and equitable than currently. Carlos Cruzado | President of the Treasury TechniciansOr as they say “to prevent the annual revaluation factor from being contaminated by the economic cycle” (p. 39). They will not achieve it because, good neoliberals but terrible economists, they do not take into account the economic worsening via Consumption as a consequence of the decrease in pensions if, as the Rajoy government intends, to pay fewer pensions.