The highest and lowest corporate tax rates

I G7 finance ministers They agreed that they support an overall minimum corporate tax rate of at least 15%.

The US Treasury Secretary Janet Yellen He said the global minimum rate will lead to the end

“Race to the bottom of corporate taxation”

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“It will ensure justice for the middle class and for workers in the United States and around the world.”

The governments of the major economic powers had to face the challenge of Heavy taxes on multinational companies, such as tech giants Facebook and Google, which operate in many jurisdictions.

a need The applicant must declare income from intangible sources such as software and patents in low-tax jurisdictions.

This allows multinational companies to avoid paying higher taxes in the countries of origin.

The highest and lowest tax rates in the world

In general, countries in Africa and South America dictate Higher corporate tax rates Compared to those in Europe and Asia, according to data reported by the Organization for Economic Co-operation and Development and Washington-based consulting firm KPMG.

The data shows that Ireland, Bulgaria, Cyprus, Moldova, Qatar, Liechtenstein, Paraguay, Andorra, Montenegro and Hungary are the countries that Low level of taxes In the world.

Comoros, Puerto Rico, Suriname, Zambia, Sudan, Malta, Kiribati, Guinea, Congo, Chad, Venezuela, Brazil, Seychelles, Cameroon, France are the countries that Higher level of tax In the world.

Clarification is needed on how the minimum rate will be applied and what parts of corporate income will be taxed.

The data shows that about 15 countries do not impose any general corporate income tax.

These include the Cayman Islands and the British Virgin Islands, known as “Tax havens” abroad, that is, jurisdictions where large corporations shift profits to pay lower taxes.

These areas benefit from functions created to meet the needs of multinational corporations, such as legal and accounting services.

G7, global minimum tax of 15% for multinationals: a landmark agreement reached

An agreement has been reached onGlobal rate of at least 15% As for taxing large corporations, it represents an “emphasis on tax evasion” that would cause giant corporations to pay their “fair share”.

It

“An unprecedented commitment that will end the race to the bottom in corporate taxation, and ensure fairness for workers in the United States and around the world,”

. said US Treasury Secretary Janet Yellen.

Even the same European Union Commissioner Paolo Gentiloni Talking about

“A major step toward an unprecedented global agreement on corporate tax reform.”

For Gentiloni, the results were possible not only thanks to the climate of optimism, but also due to the change of government in the USA.