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Interesting and I agree there's a real problem, but...what about the difference in what tax deductions are allowed? It seems like you'll just end up with compe
by rossdavidh 5y ago
Interesting and I agree there's a real problem, but...what about the difference in what tax deductions are allowed? It seems like you'll just end up with competition in which countries allow more 'expenses' to be deducted. If one country gives a higher tax benefit for any business that is carbon-neutral, say, allowing deductions to count more if they are somehow linked to combating climate change, is that cheating? How broad are they allowed to define "combating climate change"? Or any other thing you might plausibly have tax policies that are intended to encourage something or other. I see why they want to do this, but ultimately I am skeptical as to whether or not it will make any real change in the tax rates that large corporations (who can afford savvy accountants) will pay.
- gumby 5y agoThe intent is like the US’s Alternative Minimum Tax: individuals can use all the tax breaks they qualify for but also calculate AMT which has a simpler formula, and then pay the larger of the two. In this case the agreement calls for that AMT to be 15% or more.
- deleted 5y ago[deleted]