Germany, France Say Global Tax Deal Could Be Reached in Weeks

Germany and France said discussions on a global agreement on corporate tax rates were entering the home stretch and that a deal could be reached within weeks.

French Finance Minister Bruno Le Maire indicated support for a U.S. proposal to set the minimum rate at 15%, calling it an “interesting and solid basis” for discussion.

“This is a political battle that we have been fighting for with Germany since 2017,” Le Maire said Wednesday at a joint press conference with German Finance Minister Olaf Scholz. “We have spared no efforts to push the discussions forward and find a compromise.”

The Group of Seven nations is closing in on an agreement that could include both a minimum corporate tax rate and encompass digital giants like Amazon.com Inc. and Apple Inc.

If G-7 finance ministers meeting Friday and again next week can find enough common ground, it could provide a foundation for a global deal.

European governments are increasingly confident of an initial accord within the G-7, according to people familiar with the matter, while Japan is also anticipating progress, a finance ministry official said.

Scholz said a deal needs to ensure that digital companies pay a fair tax rate and that a tax agreement could be reached “in a few weeks.”

Germany, France Say Global Tax Deal Could Be Reached in Weeks

©2021 Bloomberg L.P.

BQ Install

Bloomberg Quint

Add BloombergQuint App to Home screen.