Rishi Sunak has told world finance leaders that the world cannot 'continue to rely on a tax system that was largely designed in the 1920s'. His comments come as US President Joe Biden has called for a unified minimum corporate tax rate of 15 percent in negotiations with the Organisation for Economic Co-operation and Development (OECD) and G20. 'For more than four years, France, Germany, Italy and Spain have been working together to create an international tax system fit for the 21st century,' added the four ministers. Its 12.5-percent tax rate is one of the lowest in the world, prompting tech giants such as Facebook and Google to make Ireland the home of their European operations. Proponents argue that a minimum tax is necessary to stem competition between countries over who can offer multinationals the lowest rate.

Source: The Nation June 05, 2021 07:01 UTC