The finance ministers of the G20 decided on a global tax reform at a summit in Venice. The heads of government have to give their approval at the end of October.
Venice – If taxes were the same all over the world, there would be no loopholes for international corporations, which are often not noticeable for their eagerness to pay taxes. That is the idea behind a global tax reform that the finance ministers of the major industrial and trading countries, including Vice Chancellor Olaf Scholz (SPD), agreed on in Venice on Saturday.
According to the plans, a minimum tax of 15 percent is to be introduced. If the final questions have been resolved by October, the heads of government will still have to give their approval.
G20 summit: Protests against the meeting of finance ministers in Venice
On the fringes of the meeting there were sometimes violent clashes between demonstrators and the police. But there were also peaceful protests that wanted to point out ongoing injustice – despite tax reform. 15 percent is not enough and there are still too many loopholes.
Almost all 139 OECD countries have already approved the reform at working level, including well-known tax havens. On the other hand, the three EU states Ireland, Estonia and Hungary are among those who refused. An international agreement is to be concluded for the new distribution rules. The minimum tax must be implemented individually in the states.
G20 tax reform: Union finds plans disappointing
The Union parliamentary group in the Bundestag passed the global tax reform decided by the G20 finance ministers on Saturday
criticized as a disappointment. “Instead of a big step towards more tax justice, we are experiencing exactly the opposite,” said CDU MP Antje Tillmann, financial policy spokeswoman for the Union parliamentary group, on Saturday.
None of the goals of the OECD project to reform the world tax system, which the group has supported since the beginning, would be achieved with the reform that has now been decided. (dpa / kat)