• G20, Yellen: "Strengthening the fight against pandemics, thanks to Italian leadership"

  • G20 in Venice, there is an agreement on taxation of multinationals


12 July 2021 "We all agree that uncertainty remains high. In this context, it is important that the fiscal stance remains supportive until 2022. In the future, it is important that Member States seriously consider further policy measures. budget to ensure a solid national and global recovery ": said the US Treasury Secretary, Janet Yellen, attending the Eurogroup meeting.

According to Yellen, it is necessary to create "an EU budgetary framework with sufficient flexibility to allow countries to respond strongly to crises and invest", and which does not lead to "pro-cyclical economic results". Yellen then praised the NextGeneration EU, a "historic step towards the deepening of the Economic and Monetary Union, which will reduce the likelihood that this crisis will lead to dangerous divergences in the economic results of the different countries of the Union".

For Yellen, the NextGeneration EU "can facilitate growth and investments that drive productivity in green and digital transitions". "Providing ongoing budget support to save our economies and investing in an inclusive recovery does not mean giving up caution", Yellen explained.

"Long-term fiscal sustainability is of paramount importance, and it is one of the reasons why we must continue to work together to implement an overall minimum tax of at least 15%, in line with the commitment made by the G20 a few days ago. We hope that all EU member states will join the consensus and that the European Union will advance on this issue ", he added. "We need sustainable sources of income that do not rely on further taxation of workers' wages and exacerbating economic disparities that we all strive to reduce. We must end companies that shift income to low-tax jurisdictions and accounting gimmicks that allow them to avoid paying their fair share.globalized economy does not continue to cheat our middle class so that it can remain open and free, thus encouraging economic growth and business certainty. This race to the bottom must stop and by working together we can make sure it happens, "he concluded. 

Gentiloni: we will work with the US on a G20 agreement on corporate taxation

The European Commissioner for Economy, Paolo Gentiloni, confirmed today, on the sidelines of the Eurogroup meeting in Brussels, the decision to postpone the proposed "digital tax" EU to the autumn on the giants of the web, which the Commission intended to propose next week as the new "own resource" of the Community budget. The Commission considers the postponement necessary in order to prioritize the completion of the comprehensive agreement on the minimum taxation of multinationals, reached in principle during the weekend at the G20 in Venice, working in particular with the United States.

Also for this reason, the US Secretary of the Treasury, Janet Ellen, was invited today to participate in the Eurogroup. "We will work together to reach a global agreement," Gentiloni said upon his arrival at the meeting.

"In this context, I informed Treasury Secretary Janet Yellen of our decision to pause our European digital tax proposal, to focus on working together to complete the last mile of this historic agreement." In a meeting with Yellen this morning, the commissioner said, "we talked about the commitments we made in the last G20 in Venice: the coordination of our responses to the Covid-19 pandemic, the fight against climate change and the vaccination campaign. And first of all, of course, the global deal on taxation, to end the race to the bottom "in corporate taxes, and" to reallocate tax rights where profits are made, "he concluded.