(Reuters) – Reactions have been swift to a 136-country deal announced by the Organization for Economic Co-operation and Development on Friday setting a minimum overall tax rate for large businesses of 15% and making it more difficult for them to evade tax.
“For decades, American workers and taxpayers have paid the price for a tax system that has rewarded multinational corporations for sending jobs and profits overseas. This race to the bottom has not only hurt American workers, it has put many of our allies at a disadvantage as well. “
UK MINISTER OF FINANCE RISHI SUNAK
“We now have a clear path to a fairer tax system, where the world’s big players pay their fair share wherever they do business. “
NICK CLEGG, FACEBOOK VICE PRESIDENT OF GLOBAL AFFAIRS
“Facebook has long called for reform of global tax rules, and we recognize that this could mean paying more taxes, and in different places. The tax system must build public confidence, while providing security and stability for businesses. We are happy to see an international consensus emerging.
SUSANA RUIZ, HEAD OF TAX POLICY OF OXFAM
“Today’s tax deal was about ending tax havens for good. Instead, it was written by them … To call this agreement “historic” is hypocritical and does not stand up to scrutiny. The tax devil is in the details, including a complex web of exemptions that could get big violators like Amazon off the hook. At the last minute, a colossal 10-year grace period was imposed on the 15% global corporate tax, and additional loopholes leave it virtually bite-free. “
SPEAKER AMAZON.COM INC
“Amazon supports the progress of the OECD Inclusive Framework towards a consensus solution for international tax harmonization, and we look forward to their continued technical work. “
THE FRENCH MINISTER OF FINANCE BRUNO LE MAYOR
“This agreement paves the way for a real tax revolution.”
JANET YELLEN, SECRETARY TO THE AMERICAN TREASURY
“We have turned tireless negotiations into decades of increased prosperity – for America and the world. Today’s agreement represents a unique achievement for economic diplomacy.”
DECLARATION BY THE SWISS MINISTRY OF FINANCE
“The objective is to create legal certainty for the companies concerned. Switzerland – like other countries – criticizes the OECD timetable, because it does not yet sufficiently respect national legislative processes. It will not be possible for Switzerland to introduce the new rules in 2023, as envisaged by the OECD. “
THE PRESIDENT OF THE EUROPEAN COMMISSION URSULA VON DER LEYEN
“I look forward to the G20 summit at the end of the month, where we will finalize the details of this agreement. Then we have to implement it … At the same time, we will continue to fight against evasion and fraud tax because we need to make sure everyone pays their taxes fairly. We owe it to our citizens. “
PASCHAL DONOHOE, IRISH MINISTER OF FINANCE
“This landmark deal will address the global tax challenges of digitization and bring the certainty and stability that big business and governments need … I have no doubts that Ireland will provide an attractive home for multinational companies long-term.”
SECRETARY GENERAL OF THE OECD MATHIAS CORMANN
“Today’s agreement will make our international tax agreements fairer and more efficient … This is a major victory for effective and balanced multilateralism.”
(Compiled by Mark John and Howard Goller)
Copyright 2021 Thomson Reuters.