The Group of 7, or G7, said on June 5 that it had reached an agreement on global tax reform “that will mean the largest multinational tech giants will pay their fair share of tax in the countries in which they operate”.
A statement on the G7 website said: “The rules would apply to global firms with at least a 10% profit margin – and would see 20% of any profit above the 10% margin reallocated and then subjected to tax in the countries they operate.”
The announcement was made after a meeting of G7 finance ministers in London. The ministers also “agreed to the principle of at least 15% global minimum corporation tax operated on a country by country basis.”
UK Chancellor (finance minister) Rishi Sunak posted this footage in response to the agreement. Credit: Rishi Sunak via Storyful