The leaders of the 20 largest economies in the world officially approved a global corporate tax deal on Saturday at a meeting in Rome, Italy, aimed at stopping multinational companies from transferring operations and revenues to countries that lured them at low rates to protect their profits, Forbes reported.
The plan sets out a minimum tax rate of 15% for companies with annual revenues above 750 million euros and will require a smaller group of the largest multinational companies – those with an annual turnover of 20 billion euros ($ 23 billion) and profit margins of more than 10% to pay taxes in the countries where they sell their products or services.
G20 leaders have committed themselves to implement the rules in 2023
135 countries support a 15% minimum corporate tax
The deal must fight tax havens
Rich countries will be the biggest beneficiaries from the deal, writes the Wall Street Journal, citing an analysis that the United States will increase tax revenues 15 times more than those of China.
The deal is expected to bring in $ 150 billion a year worldwide, according to the Organization for Economic Co-operation and Development (OECD).
Governments worldwide lose $ 245 billion each year from corporate tax asylum tax, according to the London-based advocacy group Tax Justice Network.
Italy wants a G20 deal for a global corporate tax
After the G7 reached a historic agreement
We recall that the finance ministers of the G7 countries reached the historic agreement in early June. The experts discussed a rate of between 12 and 25 percent.
Finance and health ministers from the world’s 20 largest economies (G20) said on Friday they would take steps to ensure that 70% of the world’s population is vaccinated against COVID-19. by mid-2022 and set up a working group to combat future pandemics.
The previous goal was to vaccinate 70% of the world’s population by the fall of 2022.
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