According to France’s finance minister, international diplomacy to tax multinational technology companies that only declare their profits in a few locations have stalled because of objections from the US and India. The discussions, which were held in anticipation of this week’s G20 meeting in India, focused on taxing multinational companies where they generate their earnings to reduce tax evasion. According to Bruno Le Maire, “things are prohibited as of today, especially by the United States, Saudi Arabia, and India,” and “chances of success are limited.” He claimed that France had consistently pursued a “European solution” as an alternative to G20 countries coming to an agreement on the issue.
We’ve reached that stage now, he added. Talks on the tax, which primarily targets technology companies, have been led by the Organization for Economic Co-operation and Development, a group of mainly wealthy nations based in Paris.
A separate agreement, also sponsored by the OECD, advocating for a basic minimum 15 per cent rate of taxation on transnational companies has had better growth and will be put into effect in the “following months,” according to Le Maire.
ABOUT Bruno Le Maire
Bruno Le Maire was born in Neuilly-sur-Seine on April 15, 1969. He is the child of Maurice Le Maire, a Total executive, and Viviane Fradin de Belâbre, a Catholic personal school headteacher. Bruno Le Maire is married to Pauline Doussau de Bazignan, an artist and the mother of his four sons. From 2007 to 2013, his wife used to work as his parliamentary advisor.
ABOUT OECD
Economic Cooperation and Development Establishment The Company for Economic Cooperation and Development is a one-of-a-kind forum in which the government agencies of 37 democratic countries with market-based economic systems work together to develop strategy guidelines that will encourage long-term economic growth.
Our 38 Member countries currently stretch the world, from North and South America to Asia-Pacific and Europe. The OECD is mainly a developed-country organisation. India is developing rather than developed. India is the Centre’s 27th member, entering numerous Countries in addition to Argentina, Brazil, and Chile. “I invite the judgement to admit India to the OECD Training Center,” said India’s External Affairs Minister, the Virtuous Jaswant Singh.
The OECD provides a forum for governments to talk about their experiences, pursue answers to common obstacles, identify best practices, and develop high moral standards for monetary policy. The OECD has served as a credible source of scientific proof, policy research, and economic indicators for over 50 years.
