G20 LEADERS GATHER TO DISCUSS MINIMUM GLOBAL TAX, ECONOMIC SUPPORT

G20 finance ministers, representing the the world’s largest economies, are backing the minimum global corporate tax agenda and calling for disputes to the tax rate to be solved by October, before the group reconvenes. The agreed 15% minimum global corporate tax rate signals the end of the 8-year dispute over the issue. Expected to be legislated worldwide by 2023, the decision to establish a global tax rate is an attempt to prevent big technology companies such as Apple, Google, Facebook and Microsoft from taking advantage of socalled tax havens. Although the new tax rate is accepted by the majority of G20, some countries, like Ireland, Estonia and Hungary, have not signed up yet due to their low corporate tax rates, and reputations as tax havens. Besides the tax agenda, the G20 leaders believe economic support measures should be in line with central banks’ inflation and price stability targets.