German Finance Minister Olaf Scholz has stated that the 20 major industrial and commercial nations will agree to the planned global tax reform for large companies.
“We have worked hard in the past weeks, but we succeeded,” Schulz said today on the sidelines of a meeting of G20 finance ministers in Venice, Italy.
Schultz said that the planned minimum tax rate of 15% and a new distribution of tax rights between countries should be implemented as soon as possible, and he said, “Our goal is to enter the agreement into force in 2023,” adding that it is expected that the final issues will be resolved by October. October of this year.
At the business level, 131 countries around the world have already agreed to these plans.
The minimum tax rate of 15% is intended to prevent companies from moving their headquarters to low-tax countries and to prevent countries from lowering their corporate taxes while competing with one another.
In addition, international companies will not only have to pay taxes in their home countries in the future, but also wherever their business thrives, and this will affect, among other things, large digital companies, which often pay very little tax overall so far.