The European Union is debating a directive that would place a minimum effective corporate income tax (CIT) of 15 percent on large-scale company groups. The directive is expected to address tax challenges caused by digitalization.
At the end of 2021, the European Commission (the EC) released a “Proposal for a council directive on ensuring a global minimum level of taxation for multinational groups in the Union”.
The current legal system governing the interface between business and state administration is far too complicated, and interpretation of the law often depends on individual decisions of the tax authorities and courts. In order to function in this thicket of regulations, highly paid advisors are needed.
