Countries around the world have made a new step towards introducing a single fiscal policy to internet giants such as Google and Facebook. According to the Organization for Economic Co-operation and Development (OECD), 129 countries approved a work plan for introducing a tax that would equitably split the revenues between countries and multinationals.

The step is closer to the global tax on digital giants.
The step is closer to the global tax on digital giants.

The decision was taken by the Member States of the OECD Group and the G20 to prevent a minor or zero payment of corporate tax, including Slovenia.

“The adoption of this new work program has made important progress, but we still have a lot of work to do if we want to reach a unified long-term solution for the tax challenges brought about by the digitization of the economy by the end of 2020,” the words of the OECD Secretary-General Angela Gurrie summarizes the French AFP news agency.

Gurria will draft the plan in early June to the finance ministers of the G20, meeting in Japan’s Fukuoka. This meeting will be the basis for the G20 Summit, which is expected to be attended by US President Donald Trump, Chinese President Xi Jinping, and other world leaders at the end of June in Osaka.

The G20 group commissioned the OECD to search for technical solutions to address the problem of tax avoidance by large Internet companies. They are exploited by low-tax countries and avoid paying taxes where they have generated revenue.

Up to $ 240 billion of lost tax revenue
According to some, G20’s future tax policy is based on the volume of business created in an individual country, not where the company is based. In doing so, the OECD has two leading solutions – one that would regulate where the tax should be paid, and another that would provide appropriate tax rates.

As early as 2015, the OECD estimated that the current state system costs up to $ 240 billion in lost tax revenues. Today, this number would be significantly more significant.

However, opposing proposals are also in the game. The United States has its own, broader, which, in addition to large US digital giants, could also hit European and Asian multinationals in other sectors.

The initiative is also supported by Slovenia
The idea of a single digital tax has been growing for a while on the EU’s greenhouse, but due to the unevenness of the Member States’ positions, it has collapsed. Several EU countries, including Spain, France, Germany, Austria, Poland, and the United Kingdom, have already announced the introduction of their own national tax.

The initiative after the introduction of digital tax also appeared in Slovenia. In mid-May, the parliamentary committee adopted a decision on the proposal by Levica, in which he proposes that the government submit to the government a bill on the use of digital service tax in Slovenia by September 2020.

LEAVE A REPLY

Please enter your comment!
Please enter your name here