TribLIVE

| USWorld

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

G-20 wants multinational companies to pay more taxes

Email Newsletters

Click here to sign up for one of our email newsletters.

Daily Photo Galleries

'American Coyotes' Series

Traveling by Jeep, boat and foot, Tribune-Review investigative reporter Carl Prine and photojournalist Justin Merriman covered nearly 2,000 miles over two months along the border with Mexico to report on coyotes — the human traffickers who bring illegal immigrants into the United States. Most are Americans working for money and/or drugs. This series reports how their operations have a major impact on life for residents and the environment along the border — and beyond.

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.

Subscribe today! Click here for our subscription offers.

 

 


Show commenting policy

Most-Read World

  1. Afghan intelligence: Taliban leader Mullah Omar dead 2 years
  2. Greece struggling to convince European Union creditors it’s for real
  3. NATO strike kills 7 Afghan troops during fight with Taliban
  4. Bombing mars praise for Afghan efforts
  5. Turkey to stick with air offensive in ISIS battle
  6. U.S., Turkey plan for ‘safe zone’ free of ISIS in northern Syria