The global minimum tax rate
In July 2021, the OECD and G20 countries presented the "Declaration on a two-pillar solution to address the fiscal challenges arising from the digitalization of the economy" that aims to alleviate the fiscal pressures arising from the covid-19 crisis and adapt to the digitalization of the economy. The structure of the tax reform will be based on two pillars.
Pillar one seeks to develop profit tax rules for companies that are highly digitized and conduct operations around the world. While, Pillar two continues BEPS taxation efforts with the introduction of a global minimum tax regime.
The implementation of these rules will help to improve economic recovery in countries that face difficulties in their tax collection, such as Latin American countries.
