TribLIVE

| USWorld


 
Larger text Larger text Smaller text Smaller text | Order Photo Reprints

G-20 wants multinational companies to pay more taxes

Daily Photo Galleries

By The Associated Press
Friday, Sept. 6, 2013, 6:30 p.m.
 

ST. PETERSBURG, Russia — It's time to make Google, Apple and other multinationals pay more taxes, say President Obama and the leaders of the world's leading economies as they committed on Friday to crack down on cross-border companies that use tax havens.

French President Francois Hollande called the deal “perhaps the most important” agreement reached at the G-20 summit.

The G-20 leaders agreed to an unprecedented deal to share information on individual taxpayers, despite resistance by China.

Low tax payments by major global companies such as Google or Amazon have sparked public anger in Europe as countries struggle out of recession.

The Organization for Economic Cooperation chief Angel Gurria said that it's crucial that Internet giants like Facebook are covered by the new rules.

“You've got to get the big guys to make a contribution,” Gurria said. Otherwise, he said, “What are the treasurers, the ministers of finance left with? Medium and small-scale enterprises, the middle class to tax?”

But the G-20 leaders may find political battles at home in getting the tax treaties and laws in place.

The OECD, which is designing the global tax rules, has come under fire from cross-border corporations that say they're being unfairly targeted.

Gurria, in an interview, insisted that the tax plan isn't anti-business.

“We don't want to discourage companies from creating jobs. But we obviously don't want to encourage companies to take away the profits and squirrel them away and not share them with anybody else,” he said.

The plan includes ways to close loopholes and allow countries to tax profits held in offshore subsidiaries.

 

 
 


Show commenting policy

Most-Read World

  1. Israeli PM warns of ‘prolonged’ campaign in Gaza
  2. U.S. claims images prove Russia firing into Ukraine
  3. Red Army’s light show signals fear Hong Kong may lose its open society
  4. Ebola claims Liberian doctor; American physician stable
  5. New Ebola cases, deaths climb in West Africa
  6. ‘Explosion of evil’ in Europe against Jews condemned
  7. South Africa Boy in hijacked …
  8. Ban of flights to and from Israel feared to bolster Hamas
  9. Afghan ballot recount paused as candidate disagree over criteria to scrap ballots
  10. Aid groups driven from violent Myanmar region invited back
  11. Taliban leader issues warning
Subscribe today! Click here for our subscription offers.