Eric LeCompte is quoted on Accounting Today on how the U.S. and other countries are moving forward on increasing tax rates on multinational corporations. Read an excerpt below, and click here for the full story.
Corporate tax increases move closer to reality
By Michael Cohn
Earlier this month, G-20 leaders agreed on a plan to impose a minimum tax rate of 15% on corporations and to keep companies from shifting their profits to low-tax countries. New data released Thursday by the Organization for Economic Cooperation and Development indicated that multinational corporations have continued to shift their profits to other countries despite record low tax rates.
Advocates for raising corporate tax rates are hoping the OECD and the G-20 will go even further in their negotiations. “To some degree, the devil is in the details,” said Eric LeCompte, executive director of Jubilee USA Network, a coalition of more than 750 religious groups and organizations. “We don’t really have a final plan yet, but the commitments that we have are very important. The plan calls for a minimum global corporate tax of at least 15%. That’s where negotiations are starting. Certainly we don’t believe that’s going to be enough, but it’s a good start, and we’re really hoping that with continuing negotiations, we’re able to get above 20% for a global minimum corporate tax."
“A big part of moving forward is trying to get the entire world on board,” said LeCompte. “At this point [over] 130 countries have endorsed the OECD working proposal on these tax issues, but we have a number of countries big and small that have not signed on or endorsed it yet."
Read more here.