The OECD published a list of countries whose global minimum tax rules meet the requirements of their model rules as a result of a transitional qualification procedure.Continue reading
It should be examined whether the global minimum tax in its current form will really be valid in the future and whether it can help to maintain or strengthen the competitiveness of the European Union, the Minister of National Economy said in Brussels on Tuesday.
Speaking at a meeting of EU finance and economic affairs ministers, Márton Nagy recalled that the future of the global minimum tax was at the center of the meeting’s agenda. He said this was an important issue in light of the US decision to withdraw from the global minimum tax agreement set by the Organisation for Economic Co-operation and Development (OECD).
The withdrawal of the United States from this agreement is a problem for the European Union and for EU countries in terms of competitiveness in the region. The European Union is already facing a competitiveness crisis and the move announced by the United States could create further problems as third countries could benefit from this decision,”
he pointed out. It is therefore necessary to examine whether the global minimum tax is sustainable in the future and contributes to the EU’s competitiveness, while avoiding the exodus of large multinational companies, he added.
The Minister reminded that
there is an ongoing debate among EU member states on how to deal with defense spending in budgetary rules, given the growing geopolitical challenges and NATO commitments.
He said that under the new EU proposal, defense spending would be removed from the budget and countries that increase defense spending would not be subject to an excessive deficit procedure. He noted that the proposal is still in its early stages, with few specifics.
The debate is essentially around two points: on the one hand, what counts as defense spending, an issue Hungary strongly believes each country should decide for itself, while others would follow the NATO definition, Márton Nagy said. On the other hand, there is the question of what is the benchmark against which increasing defense spending is no longer counted in spending. Member states are pushing for detailed rules and a comprehensive package of proposals is expected to be ready by spring, the Minister concluded.
Via MTI, Featured photo via Pixabay
