The deal aims to reallocate tax rights to large digital conglomerates such as Apple and Google in the countries where end customers are located.
The deal aims to reallocate tax rights to large digital conglomerates such as Apple and Google in the countries where end customers are located.
A global digital tax deal may not be ready until late 2023 or early 2024, French Finance Minister Bruno Le Maire said on Tuesday, marking a major delay in the implementation of the reform.
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The deal, which officials expected to sign in the middle of this year, aims to reallocate tax rights to large digital conglomerates such as Apple and Google in countries where end customers are located.
It is the first of two pillars of a major overhaul of cross-border taxation rules that also includes a global plan. Minimum Corporate Tax of 15% on large multinational companies.
“As far as Pillar I is concerned – digital taxation – we will not give up our efforts to persuade the international community and the OECD members to do our best to build consensus in the coming months,” Le Maire said after presiding. EU Finance Ministers meeting in Brussels.
“It could be the end of 2023, it could be the beginning of 2024, the main point being a total overhaul of the international taxation system,” Le Maire said.
Nearly 140 countries agreed last October to rewrite international taxation rules for the first time in a generation, setting a deadline of 2023 for implementation.