For the US Treasury Secretary, Janet Yellen, it will “end the race to the bottom” on corporate taxes, and ensure a “fair” deal for the middle class. Facebook also celebrated the G7 agreement although it will pay more taxes.
The US Secretary of the Treasury, Janet Yellen, celebrated this Saturday as an “unprecedented” agreement the one reached within the G7 for a global tax reform, since it gives a “tremendous boost” to the objective of reaching a minimum tax 15% to multinationals. Taxation that would mainly target the technological giants.
You may also be interested in: The G7 reaches a “historic” agreement on the minimum tax for large companies
The pact, announced by the British Minister of Economy, Rishi Sunak, took place in the framework of the meeting of the most developed economies in the world that takes place in London.
In a statement, Yellen stressed that the “relevant and unprecedented compromise” reached by G7 ministers “offers a tremendous boost to achieve a robust global minimum tax of at least 15%.”
The administration of the president of the United States, Joe Biden, had been one of the main defenders of the proposal.
In Yellen’s view, this global minimum rate will “end the race to the bottom” in corporate taxes, and ensure a “fair” deal for the middle class and workers in the US and around the world.
Likewise, the US Secretary of the Treasury indicated that the measure would help “boost the economy, by offering a balanced playing field for business and encouraging countries to compete on positive bases, such as education, training of the workforce and investment in research, infrastructure development ”.
The G7 is made up of the United States, United Kingdom, Germany, France, Canada, Italy, and Japan.
Facebook also celebrates
The tax agreed by the G7 is especially focused on the technological behemoths. However, Facebook reported that it celebrates the tax as it ensures that it will give certainty.
“Facebook has long called for a reform of global fiscal rules and we welcome the significant progress made at the G7,” said Nick Clegg, the social network’s head of global affairs, in a message on Twitter shortly after meeting. the agreement.
Clegg stressed that today’s agreement is a “significant first step” to “give certainty to companies and strengthen public confidence in the global tax system.”
Likewise, he acknowledged that as a consequence of an eventual ratification of the pact “Facebook would pay more taxes, in different places.”
