Double Tax Risk in Application of Minimum Rate, Tech Group Says

Jurisdictions adopting the globally agreed 15% minimum tax with different effective dates risk saddling companies with uncertainty and even double tax, a tech industry group said Monday.

Consistent application of Pillar Two of the OECD-led global tax deal is crucial for avoiding those traps, the Information Technology Industry Council wrote in a public consultation letter.

The group pointed to disparate proposed effective dates for the minimum tax rules in the EU, U.K., and Switzerland. It also warned against inconsistent application of the rules.

• “The Inclusive Framework’s Pillar Two rules are designed to operate as a common ...