Sumary of What G7Ã¢ÂÂs global minimum tax holds for India:
- Representative image On June 5, the G7 finance ministers agreed in principle upon global tax reforms, and this is being described as historic by many..
- and the second pillar commits to a global minimum corporate tax of at least 15 percent on a country-by-country basis..
- This has led to gaping fiscal holes — amounting to 14.9 percent of GDP for the United States, 16.9 percent for the United Kingdom and 7.2 percent for the Eurozone..
- Governments are, thus, looking at ways to bolster their fiscal capabilities and reforming the global tax system has the potential to boost their coffers..
- Estimates by the UK Tax Justice Network suggest that the G7 countries would gain $168bn in increased corporate income tax with a 15 percent global minimum corporate tax rate (Pillar 2), while all other countries would gain $107bn….