Speaking at a press conference this morning, Finance Minister Clyde Caruana claimed that states who oppose the Organisation for Economic Co-operation and Development taxation plans will be left out of negotiations. Malta therefore cannot express disagreement with the plans, otherwise risking complete exclusion from such negotiations. Caruana stated that the pandemic accelerated the EU’s efforts to push forward the idea of revenue gain.
Caruana continued on to say that the big countries wish to increase revenue from the biggest companies in the world. The pace with which these reforms are being negotiated makes most countries willing to enter negotiations. Malta can negotiate to have what we have achieved remain. Caruana labelled negotiation as our best tool ahead. Malta joined 129 other countries in backing plans by the OECD to ensure that large multinational companies pay tax in the countries they operate and earn profits in earlier this month. The impact on Malta’s taxation system following the decision is yet to be determined.
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Photo Source: The Guardian, Clyde Caruana FB