UK refuses to back Biden push for minimum corporation tax - The Telegraph
Reuters
Published May 24, 2021 04:28PM ET
(Reuters) - The UK treasury is refusing to back a global overhaul of corporation tax championed by U.S. President Joe Biden unless the White House supports its demand to crack down on U.S. tech titans, The Telegraph https:// reported on Monday, citing treasury sources.
Britain has not yet given the proposal its backing as it is pushing for strict rules that specifically target Silicon Valley titans such as Alphabet (NASDAQ:GOOGL) Inc's Google and Facebook Inc (NASDAQ:FB) , the report added, citing the sources.
"We're not going to rush to sign up without a proper, more detailed deal on where tech companies pay their tax, something that you're confident can be pushed through Congress," a Treasury source told the paper.
The UK treasury department did not immediately respond to Reuters' request for comment.
Earlier in the day, Britain welcomed the United States' commitment to finding a solution, but did not comment specifically on the U.S. proposal.
"It's crucial that any agreement ensures digital businesses pay tax in the UK that reflects their economic activities," a spokesman for Prime Minister Boris Johnson had said.
Other European states like France, Germany and Italy have supported the U.S. proposal for a global minimum corporate tax rate of at least 15%, saying it was a good basis for sealing an international deal by July.
U.S. Treasury Secretary Janet Yellen first proposed a 21% U.S. corporate minimum tax in April as part of Biden's $2.2 trillion infrastructure spending proposal, which would be financed largely by increasing the U.S. corporate tax rate to 28%.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.