After many years of discussion, we have reached a historic agreement on a more stable and fair international taxation, reads the lengthy document that concluded yesterday’s G20 economic meeting in Venice, under the Italian presidency. The system of minimum taxes paid by multinationals, valid all over the world, the main result of the summit. indeed, the membership of 7 countries is still missing (three in Europe: Ireland, Hungary and Estonia). But, said Economy Minister Daniele Franco, the G20 countries that have given the green light to the reform represent 90% of global GDP and this puts objective pressure on those who are still resisting because they want to continue to reap the benefits. . be a tax haven. For this reason, Franco added, there is a belief that in the G20 in October, which should approve the final agreement in full details, even these resistances will have been overcome.
The document therefore refers to the mechanism agreed in the OECD that provides for a two-pillar mechanism. The first is intended for large multinationals, which with a turnover of more than 20 billion (a hundred in total), whose profit, if it exceeds 10% of turnover, will be partially (a share between 20 and 30%) taxed in countries where they operate. The second pillar, on the other hand, affects most multinationals, those with a turnover of at least EUR 750 million, the profit of which will be taxed at a minimum rate of 15%. In practice, countries that charge a lower tax (eg Ireland 12.5%) will have to repay the difference (2.5 points in the example) to the countries where the multinational sells goods and services. This system should reduce the convenience of multinationals to shift profits to tax havens. The reform is expected to come into effect in 2023. But several problems remain to be solved. French Finance Minister Bruno Le Maire said both 15% of the global minimum tax and 20% of the redistribution of profits should be increased.
The fight against pandemics, the current, variants inclusive, and the future, and the fight against pollution and climate change are the other issues on which G20 ministers and central bankers have taken common positions, the World Bank, World Health Organization press release reads. the IMF and WTO for vaccines, therapies and diagnoses in developing countries to overcome the situation in advanced countries where the majority of the population has already received a dose of vaccine and in poor countries where the percentages are single digits. On the environment, the G20 agrees on the use of mechanisms to price CO2 emissions and incentives to reduce them.