Tech giants will face 1 billion imposition for digital tax
Google rate imposed by the OECD will impact companies such as Apple, Facebook and even the search engine itself
The Organization for Economic Cooperation and Development (OCDE) presented on Wednesday an international standard for the Google rate that will not only have impact ton he accounts of technology giants but also the renowned search engine.
Ireland, where corporate tax is precisely half that in Spain (12.5% vs. 25%), serves as a European headquarters for companies such as Apple and Facebook, as well as Google itself. As expressed by the economic confederation of that nation in The Irish Times, from Ibec, they assess: “We believe that 10% or more of the corporate tax collected in Ireland could potentially be in danger.”
The confederation also ensures: “The current rules, dating from the 20s, are no longer sufficient to guarantee an equitable allocation of fiscal rights in an increasingly globalized world.” Meanwhile, the OCDE international standard not only focuses on technology companies but also covers multinationals as a whole, opening a public information process, until November 12, with the goal of reaching an agreement for next month of January.
A global solution
From the OCDE, in a management document among more than 130 countries, it says if they do not reach an agreement “it would greatly increase the danger of nations acting unilaterally, with negative consequences for the global economy.”
In the past, the company Google paid 6.8 million euros as a corporate tax in Spain as stated in its latest accounts. That figure represents 24% less than the previous year’s disbursement and the first decrease of its fiscal commitments since 2011. Globally, Google had a profit of 30,736 million dollars in 2018.
K.Villarroel
Source: elmundo
