Responding to the publication of proposals by the Organisation for Economic Cooperation and Development (OECD) on the application of a new minimum corporate tax rate, Susana Ruiz, Tax Policy Lead for Oxfam said:
“There is a real risk that the OECD’s proposal on the application of a new minimum corporate tax rate will only benefit a handful of mainly rich countries where multinational companies are headquartered. Countless other rich and poor countries where these corporations do business will not be able to recover lost taxes.
“The proposal also opens up the possibility that big corporations will simply shift their headquarters to a tax haven to avoid paying tax.
“This is a step backwards. The OECD needs to rip up its proposals and start again,” added Ruiz.
Notes to editors
The OECD’s proposals are outlined here.
The OECD is leading on a second round of global tax reforms to address challenges arising from the digitalisation of the economy. One part of the reform package relates to the taxation of multinationals in countries where they do not have a physical presence (e.g. online sales). The second part is aimed at developing rules for home countries (where corporations are headquartered) and host countries (where corporations do business) that will ensure multinational corporations pay a minimum effective rate of tax. The proposals published today only deals with home country instead of a comprehensive approach to also benefit host countries.
Contact information
Annie Thériault in Lima, Peru | annie.theriault@oxfam.org | +51 936 307 990 | @annietheri
For updates, please follow @Oxfam
The OECD’s proposals are outlined here.
The OECD is leading on a second round of global tax reforms to address challenges arising from the digitalisation of the economy. One part of the reform package relates to the taxation of multinationals in countries where they do not have a physical presence (e.g. online sales). The second part is aimed at developing rules for home countries (where corporations are headquartered) and host countries (where corporations do business) that will ensure multinational corporations pay a minimum effective rate of tax. The proposals published today only deals with home country instead of a comprehensive approach to also benefit host countries.
Annie Thériault in Lima, Peru | annie.theriault@oxfam.org | +51 936 307 990 | @annietheri
For updates, please follow @Oxfam