The government recognizes that Portugal “must get” at least 15% of interest rates for multinational corporations. Competition for small economies.
The Minister of Finance believes that it is too early to assess the direct impact of the minimum income tax rate on Portugal, but he recognizes that the country will have to benefit from the eventual establishment of a 15% global tax rate.
“It is too early to have direct consequences for Portugal from this commitment, as it will depend on how the two pillars of the solution being discussed by the Organization for Economic Cooperation and Development (OECD) will be clarified and still very relevant issues To be agreed”, he answered Dinheiro Vivo’s questions in João Leão’s office.
Last Saturday, driven by the United States, the seven richest countries in the world-the Group of Seven-approved in principle an agreement to set a minimum of “at least 15%” for the profits of multinational companies in each country. Tax rate. With this solution, the company will have to pay taxes in the country where it sells goods or services instead of in the region where its tax base is located, thereby avoiding higher tax rates.
The solution will still be discussed at the July meeting of the world’s most industrialized countries-the G20-China, India, and Russia. It is at this meeting that will begin to determine the path of the principled agreement reached in London last Saturday.
João Leão pointed out that “Portugal must naturally benefit from solutions of this nature”, the Minister of Finance of Portugal acknowledged and assured that “it will continue to actively participate in the search for solutions that will be implemented in the near future”.
The agreement reached between the United States, Germany, Canada, France, Italy, the United Kingdom, and Japan is considered “a historic milestone” in the sense of preventing fiscal erosion, especially in the wealthiest countries.
At the same time, more than 130 countries coordinated by the OECD are also in negotiations, which reminds the Ministry of Finance. “The President of the Council of the European Union Portugal has been monitoring the ongoing work of the OECD at the political and technical levels to find potential common ground to safeguard the EU’s interests in this international forum,” said João Leão’s office “welcome the last G7 The meeting reached an important compromise on the lowest global corporate tax rate in various countries.”