GSK Sees Global Minimum Tax Rules Slash Value of Tax Incentives

GlaxoSmithKline PLC faced a £169 million ($226 million) reduction in the value of its tax incentives last year as a result of global minimum tax regulations, the company said in its annual report Thursday.

The UK-based biopharmaceutical company classified the reduced benefits from the UK and Belgian governments as a Pillar Two tax in its filings.

Pillar Two taxes refer to those paid under the Organization for Economic Cooperation and Development’s two-pillar approach to global tax reform, the second of which requires large businesses to pay a 15% minimum corporate income tax in every jurisdiction where they book income. ...