Multinational firms will have to pay a minimum of 15% tax on all of the profits they make worldwide, regardless of where the profits are generated.
Multinational firms will have to pay a minimum of 15% tax on all of the profits they make worldwide, regardless of where the profits are generated.
Global tax is complicated. A reprisal tariff regime would be way way way more complicated. The US doesn’t want to be in a position where it’s levying 50% tariffs on Guinness because Ireland’s corporate tax rate is 12.5%. How do you know that tariff is fair and would the WTO even recognize uneven tax rates as a sanctionable offense?
This is a carrot vs stick approach.
Hmmm makes me question the benefit of the WTO.