Reply to: Minimum Corporate Tax rate to be imposed on the UK

[AtW]

Best of luck with that theory. Corporation tax is applied at the place of registration.

It's not a theory, it's what been proposed for many years and was mainly blocked by the USA, which is no longer the case.

[Mordac]

Luxembourg's won't matter if (as Biden proposed) multinationals will start paying corp tax where sales actually happen, since relatively feck all sold in Luxembourg they might even close their eyes on their corp tax levels, it's not clear why would a minimum tax be necessary if the plan is so good.

Best of luck with that theory. Corporation tax is applied at the place of registration. And just for good measure, Amazon make sure they make a loss (or profits so small they're barely worth taxing) in high-value markets. The best governments can do is impose a sales tax, but the customer pays all of that.

[AtW]

Luxembourg and Monaco don't need to worry as they're on the "Board". I remember when Switzerland got hammered when the US got tough on offshore financial centres, Luxembourg got a free pass.

Luxembourg's won't matter if (as Biden proposed) multinationals will start paying corp tax where sales actually happen, since relatively feck all sold in Luxembourg they might even close their eyes on their corp tax levels, it's not clear why would a minimum tax be necessary if the plan is so good.

[AtW]

Bring back Trump!!!

[_V_]

Luxembourg and Monaco don't need to worry as they're on the "Board". I remember when Switzerland got hammered when the US got tough on offshore financial centres, Luxembourg got a free pass.

What about https://nltimes.nl/2021/03/09/nether...gest-tax-haven and https://www.europaunited.eu/ireland-...est-tax-haven/ ???

[BlasterBates]

Luxembourg and Monaco don't need to worry as they're on the "Board". I remember when Switzerland got hammered when the US got tough on offshore financial centres, Luxembourg got a free pass.

[_V_]

I wonder if the billionaire's resident in Monaco and Luxembourg are quaking in their designer boots yet?

[vetran]

There's just no accounting for them!

They probably chlorinate it first!

[NotAllThere]

But strange they like the AZ vaccine!

There's just no accounting for them!

[vetran]

And according to the article, the US hates it now as well.

But strange they like the AZ vaccine!

[NotAllThere]

Europe hates the idea of an island nation close to the mainland, with ultra low tax rates, used as a loophole to attract global companies to their shore.

And according to the article, the US hates it now as well.

[vetran]

Europe hates the idea of an island nation close to the mainland, with ultra low tax rates, used as a loophole to attract global companies to their shore.

Oh, unless that place is Ireland of course.

https://en.wikipedia.org/wiki/Corpor...lic_of_Ireland



I will have a double Irish please.

You need to add a Danish in there to get the full flavour!

[_V_]

Europe hates the idea of an island nation close to the mainland, with ultra low tax rates, used as a loophole to attract global companies to their shore.

Oh, unless that place is Ireland of course.

https://en.wikipedia.org/wiki/Corpor...lic_of_Ireland

Ireland's "headline" corporation tax rate is 12.5%, however, foreign multinationals pay an aggregate § Effective tax rate (ETR) of 2.2–4.5% on global profits "shifted" to Ireland, via Ireland's global network of bilateral tax treaties. These lower effective tax rates are achieved by a complex set of Irish base erosion and profit shifting ("BEPS") tools which handle the largest BEPS flows in the world (e.g. the Double Irish as used by Google and Facebook, the Single Malt as used by Microsoft and Allergan, and Capital Allowances for Intangible Assets as used by Accenture, and by Apple post Q1 2015).^[1]

I will have a double Irish please.

[_V_]

A lot of people think there is no tax on corporations in the Cayman Islands.

There is corporation tax there on all companies.

It's just the rate is 0%

I guess the UK can impose the same lower limit.

[BlasterBates]

Aren't they talking about rates for multinational trading corporations...?

Isn't that the whole point of Singapore on Thames?

Perhaps they should rename it the "Grimsby on Thames" strategy.