G7 agrees on global minimum tax
Until now, large corporations like Apple and Google have often used tax havens to pay as little tax as possible. A global minimum tax is set to change this.
London (dpa) - The leading industrial nations want large digital corporations such as Apple and Google to pay at least 15 percent tax worldwide in future. After years of negotiations, the finance ministers of the G7 countries agreed on a global tax reform in London on Saturday. Besides the minimum tax of 15 percent, steps are also to be taken to ensure that large corporations in future pay taxes in whichever country they generate their turnover, according to a joint declaration of the G7. Federal Finance Minister Olaf Scholz (photo: top right) spoke of a "tax revolution". The breakthrough is considered an important basis for further agreement among the G20 countries.
The aim is to make multinational corporations pay more. To date, corporate taxes have only been levied at the company's headquarters, but not in the countries where the corporations are active, which in the case of digital companies is often almost worldwide. This led to many companies relocating their headquarters to countries with lower corporate taxes.
More about global issues and law