Mboweni joins finance chiefs in calling for a global corporate minimum tax

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Ministers of finance Tito Mboweni, Janet Yellen, Olaf Scholz, Arturo Herrera Gutierrez and Sri Mulyani Indrawati explain the need for a level playing field in an unequal world

Tito Mboweni, Janet Yellen, Olaf Scholz, Arturo Herrera Gutiérrez and Sri Mulyani Indrawati

The second problem is a consequence of the first. Governments desperately need revenues to rebuild their economies and make investments to support small businesses, workers and families in need. And they’ll need more, as the pandemic recedes, to address climate change and longer-run structural issues. Revenues must come from somewhere, though. For too long, revenues have been drawn too heavily from workers, whose incomes are easy to report and calculate.

This year, nations have a historic opportunity to end the race to the bottom in corporate taxation, restoring government resources at a time when they are most needed. Through the auspices of the Organization for Economic Cooperation and Development and the Group of 20 Inclusive Framework, 139 countries are working towards fairer distribution when it comes to which countries receive corporate tax revenue and the establishment of a globally agreed upon minimum tax.

 

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