Potential Response to GloBE: Domestic Minimum Taxes In Countries Affected by the Global Minimum Tax
102 Tax Notes International 943 (2021)
6 Pages Posted: 16 Jun 2021
Date Written: March 2021
In this article, the author examines the OECD’s global anti-base-erosion (GloBE) proposal and recommends that countries consider adopting a domestic minimum tax that would apply to the income that would otherwise be taxed under GloBE. He argues that a domestic minimum tax modeled after GloBE would not materially affect the overall tax liability of multinationals or create additional complexity, and it would help countries whose primary taxing rights might be eroded by GloBE.
Keywords: Global Minimum Tax, GloBE, BEPS, BEPS 2.0, Pillar Two, Pillar 2, Inclusive Framework, Domestic Minimum Tax, Tax Havens, Low Tax Jurisdictions, Tax Incentives
JEL Classification: K34
Suggested Citation: Suggested Citation