Thursday, October 10, 2019 1:00 am
Global plan would better tax tech firms
PARIS – The Organization for Economic Cooperation and Development has proposed a plan to overhaul the way multinationals –particularly tech giants – are taxed to make sure they pay their fair share in countries where they do significant business.
The plan from the Paris-based OECD, which advises 134 countries on policies, comes after France and the United States agreed in August to find a way to better tax digital businesses by mid-2020.
The OECD proposal would re-allocate some taxes to countries where giant companies like Google, Facebook, Amazon and Apple “have significant consumer-facing activities and generate their profits.”
OECD Secretary-General Angel Gurrķa said: “We're making real progress to address the tax challenges arising from digitalization of the economy, and to continue advancing toward a consensus-based solution.”
The OECD's framework will be presented to finance ministers of the G-20 in Washington next week.