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‘Historic’ global tax deal on multinationals delayed until 2024
- Bostonian 4y agoIf the GOP gains control of the House, as is widely expected, the deal will not be ratified as is. Presidents have signed on to climate change treaties without Congressional approval, partly as a symbolic gesture, but that won't work for taxes.
- danuker 4y agoI doubt large corporations, with all their lobbying power, will submit to this. On top of that, the agreement would introduce a prisoner's dilemma: it relies on every country respecting it, and any country outside of it would see large benefits from it due to corporations moving their profits there. This results in an unstable equilibrium.
- javagram 4y agoThe article says it’s designed the opposite: > Cormann said that once there was a critical mass of countries imposing a minimum level of corporate tax on profits generated in their jurisdictions, it would be very hard for other countries not to follow. > He explained: “Essentially you leave money on the table for other countries to collect, if you don’t align yourself to that global standard.” Sounds like how it would work is if your country tries to become a tax haven, the US and EU just take the money instead?
- Proven 4y ago