{"id":76425,"date":"2021-07-08T12:23:44","date_gmt":"2021-07-08T16:23:44","guid":{"rendered":"https:\/\/schillerinstitute.com\/?p=76425"},"modified":"2021-07-08T12:23:45","modified_gmt":"2021-07-08T16:23:45","slug":"winners-in-new-global-minimum-corporate-tax-tech-giants-london-offshore","status":"publish","type":"post","link":"https:\/\/schillerinstitute.com\/es\/blog\/2021\/07\/08\/winners-in-new-global-minimum-corporate-tax-tech-giants-london-offshore\/","title":{"rendered":"Winners in New `Global Minimum Corporate Tax: Tech Giants, London `Offshore&#8217;"},"content":{"rendered":"\n<p class=\"has-medium-font-size wp-block-paragraph\"><strong>Winners in the New `Global Minimum Corporate Tax: Tech Giants, London `Offshore&#8217;<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">July 7 (EIRNS) \u2013 The <em>Financial Times<\/em> on July 3 reported that the City of London financial center had succeeded in winning an \u00abexemption\u00bb for its banks and other financial firms \u2013 and those of Wall Street and Frankfurt \u2013 from the new \u00abglobal minimum corporate tax\u00bb agreement ballyhooed by the U.S. Treasury at the time of the G7 finance ministers and heads-of-state meetings. The minimum tax scheme, considered a U.S. priority, is actually being negotiated and planned under OECD auspices.<br><br>A <em>ZeroHedge<\/em> column on July 1 had already noted that \u00abwhile Washington likes to talk about the new framework as a foregone conclusion, there&#8217;s plenty of reason to doubt that it will ever be implemented. One reason is that countries like Ireland, Singapore, Indonesia and island tax havens like Bermuda all oppose the new scheme.\u00bb It could be expected that London would play this card.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In what was portrayed in financial media as hard bargaining between \u00abthe United States\u00bb on one side and \u00abthe UK and France\u00bb on the other, financial corporations got a \u00abcarve out\u00bb or safe haven from the minimum tax; and in exchange, the UK agreed to eliminate in stages its \u00abdigital services tax\u00bb, which has no American counterpart. France agreed to do this as well, on behalf of continental European countries\u2019 tax authorities.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">So while some <em>nations<\/em> may be hurt by the agreement \u2013 for example, Ireland and Russia, which currently have corporate tax rates below 15% &#8212; the Silicon Valley tech monopolists will come out just as sales tax-free worldwide, as they have always been in the United States; and the City and Wall Street banks will be subject to the 15% minimum corporate tax only in their home bases, and not in all the other places they operate in. That is to say that \u00abLondon offshore\u00bb tax havens will still be tax havens.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Winners in the New `Global Minimum Corporate Tax: Tech Giants, London `Offshore&#8217; July 7 (EIRNS) \u2013 The Financial Times on July 3 reported that the City of London financial center had succeeded in winning an \u00abexemption\u00bb for its banks and other financial firms \u2013 and those of Wall Street and Frankfurt \u2013 from the new [&hellip;]<\/p>\n","protected":false},"author":37,"featured_media":76426,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[642,505,508],"tags":[842],"class_list":["post-76425","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-finance","category-updates","category-updates-geopolitics","tag-lang-en"],"_links":{"self":[{"href":"https:\/\/schillerinstitute.com\/es\/wp-json\/wp\/v2\/posts\/76425","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/schillerinstitute.com\/es\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/schillerinstitute.com\/es\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/schillerinstitute.com\/es\/wp-json\/wp\/v2\/users\/37"}],"replies":[{"embeddable":true,"href":"https:\/\/schillerinstitute.com\/es\/wp-json\/wp\/v2\/comments?post=76425"}],"version-history":[{"count":1,"href":"https:\/\/schillerinstitute.com\/es\/wp-json\/wp\/v2\/posts\/76425\/revisions"}],"predecessor-version":[{"id":76436,"href":"https:\/\/schillerinstitute.com\/es\/wp-json\/wp\/v2\/posts\/76425\/revisions\/76436"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/schillerinstitute.com\/es\/wp-json\/wp\/v2\/media\/76426"}],"wp:attachment":[{"href":"https:\/\/schillerinstitute.com\/es\/wp-json\/wp\/v2\/media?parent=76425"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/schillerinstitute.com\/es\/wp-json\/wp\/v2\/categories?post=76425"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/schillerinstitute.com\/es\/wp-json\/wp\/v2\/tags?post=76425"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}