At the end of 2021, the European Commission released a “Proposal for a council directive on ensuring a global minimum level of taxation for multinational groups in the Union.”
What was once a pipedream in academic circles, a global minimum corporate tax might soon be a reality that could change the way the world’s biggest companies do business across borders.
In a world where tax codes are riddled with loopholes and typically run into the thousands of pages, it should not come as a surprise that corporations would seek guidance on their potential tax liabilities prior to setting up shop in a country – and that governments would be eager to reassure investors.