- Title: G7 tax agreement provides level playing field-UK's Sunak says
- Date: 5th June 2021
- Summary: NEW YORK, NEW YORK, UNITED STATES (FILE) (REUTERS) VARIOUS OF FACEBOOK ON MOBILE PHONE VARIOUS OF FACEBOOK ON LAPTOP
- Embargoed: 19th June 2021 12:55
- Keywords: FACEBOOK AND AMAZON G7 G7 TAX AGREEMENT GOOGLE TAXATION TAXES corporate giants minimum corporate teax multinationals playing field profits rich nations sunak tax raes
- Location: MOUNTAIN VIEW AND MENLO PARK, CALIFORNIA, NEW YORK, NEW YORK, UNITED STATES / PARIS, LAUWIN-PLANQUE AND BRETIGNY-SUR-ORGE, FRANCE / LONDON, ENGLAND, UNITED KINGDOM
- City: MOUNTAIN VIEW AND MENLO PARK, CALIFORNIA, NEW YORK, NEW YORK, UNITED STATES / PARIS, LAUWIN-PLANQUE AND BRETIGNY-SUR-ORGE, FRANCE / LONDON, ENGLAND, UNITED KINGDOM
- Country: United Kingdom
- Topics: Europe,Budget/Taxation/Revenue,Government/Politics
- Reuters ID: LVA00BEG4HLQF
- Aspect Ratio: 16:9
- Story Text: A Group of Seven agreement to commit to a global minimum corporate tax of at least 15% on a country by country basis will create a level playing field for companies around the world, British finance minister Rishi Sunak said on Saturday (June 5).
He added that the need for national digital services taxes would fall away once the global solution is in place.
The accord, which could form the basis of a global pact next month, is aimed at ending a decades-long "race to the bottom" in which countries have competed to attract corporate giants with ultra-low tax rates and exemptions.
That has in turn cost their public coffers hundreds of billions of dollars - a shortfall they now need to recoup all the more urgently to pay for the huge cost of propping up economies ravaged by the coronavirus crisis.
Ministers met face-to-face in London for the first time since the start of the COVID-19 pandemic.
Rich nations have struggled for years to agree a way to raise more revenue from large multinationals such as Google, Amazon and Facebook, which often book profits in jurisdictions where they pay little or no tax.
(Production: Emmanouil Papavasileiou, Liliana Ciobanu)
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