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Finance Minister Schultz asks Amazon and Google to pay

International Internet companies such as Amazon and Google will soon have to pay taxes not only in low-tax countries. Federal Finance Minister Schulz spoke of the billions of euros that could flow into Germany, among other things.

Federal Minister of Finance Olaf Schulz He has an early deal to fight for one digital tax Presented in promising. A breakthrough is imminent, Schultz, the London-based Sky News anchor, said Friday night. Tax reform plan, with Internet giants such as Amazon or The Google If they pay taxes at corporate headquarters, but also where they generate sales, it will “change the world,” Schultz said on the sidelines of the Group of Seven finance ministers meeting. This would generate billions of euros in taxes that could have been transferred to low-tax countries.

According to the announcer, he is a model with two pillars. On the one hand, it should regulate how many taxes multinational corporations have to pay — and where. Until now, many companies pay taxes only at corporate headquarters, but not in the countries where they make their sales. A global minimum tax, which should not be less than 15 percent, is planned as the second pillar. The United States in particular has put pressure here. The global minimum tax on internationally active companies should put an end to the global race for the lowest tax rate.

“This is a historic moment and it will help us do our job: serve our citizens,” Schultz said. “It’s about fairness and fairness.” The SPD politician said the digital tax would help and contribute to states’ refinancing. We would benefit greatly from such an agreement.” Because of the Corona pandemic, almost all states have taken on high debts.

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Countries with lower corporate taxes such as Ireland are still reluctant to impose minimum taxes. In the EU country, corporate tax is paid at only 12.5 percent, which is why many large companies have headquarters there. If a digital tax is introduced, Ireland will have to raise taxes – or sanctions from other economies will be threatened.