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Author Topic: Global Corporate Tax Rates  (Read 84 times)

Ben

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Global Corporate Tax Rates
« on: April 08, 2021, 08:27:50 AM »

Biden is pushing for a global minimum tax rate of 21%. In other words, getting all countries to charge corporations this minimum tax. From what I have read, I'm a little confused on if he's pushing this to be applied to US corporations in other countries only, or if he's pushing those countries to charge every corp the 21%.

We have always had one of the highest corporate tax rates in the world, so of course other countries would use that to their advantage. I'm not sure what the incentive would be for them to hurt themselves by raising the tax. Also, if it is only targeting US corps, I wonder if some countries have laws that prevent that kind of targeting?

I guess it's too much brain strain to consider dropping our corporate tax lower, thus incentivizing our corps with a carrot instead of a stick, and maybe even getting other multinational corps to look at doing business on our soil.

Quote
President Joe Biden said Wednesday that he will push for the adoption of a global minimum corporate tax rate to reduce opportunities for tax-rate arbitrage by American corporations that reduce their U.S. tax burden by shifting profits to low-rate tax havens.

“I’ve also proposed a global minimum tax, which is being proposed around the world for U.S. corporations, of 21 percent,” Biden said at a White House press briefing.

“It means that companies aren’t going to be able to hide their income in places like the Cayman Islands and Bermuda, in tax havens,” the president added.

It comes after Treasury Secretary Janet Yellen on Monday urged the adoption of such a tax, which would rely on negotiating a 21 percent global minimum corporate tax rate with major economies.

https://www.theepochtimes.com/biden-calls-for-global-minimium-tax-rate-to-target-us-companies-in-tax-havens_3767362.html
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Fly320s

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Re: Global Corporate Tax Rates
« Reply #1 on: April 08, 2021, 08:34:20 AM »

Sounds like he is applying this only to US corps.

Ask Biden to lower taxes?  Ha!  You have a better chance of selling a gun to Giffords.
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WLJ

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Re: Global Corporate Tax Rates
« Reply #2 on: April 08, 2021, 08:38:33 AM »

Sounds like he is applying this only to US corps.


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Lennyjoe

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Re: Global Corporate Tax Rates
« Reply #3 on: April 09, 2021, 07:14:31 AM »

Hear that sound? It's the sound of China laughing that their plan is working so brilliantly

Along with the sound of US companies moving their operations back overseas (like Ford for example)