On June 5, the G7 countries reached a historic agreement on taxation of multinational corporations.
The finance ministers of the countries agreed to support a minimum global corporate tax rate of at least 15%, so that individual countries do not try to gain an advantage by reducing the tax rate. The members of the council have been competing for many years in creating more attractive economic conditions for IT giants. The companies, in turn, were specifically looking for jurisdictions with less taxation. According to the Financial Times, the agreement will lead to the fact that companies will have to pay more taxes in all countries where they will work.
The signed agreement may become the basis for more global agreements at the G20 Council of countries. British Finance Minister Rishi Sunak noted that this agreement will create equal conditions for doing business in different countries, leaving no opportunity for international corporations to evade taxes.
Google and Amazon have officially stated that the companies support the work done to modernize international tax rules, adding that they expect the countries to continue working together to ensure the balance and strength of the agreement, and that it will soon be ratified.
