global minimum tax a head scratcher for vietnamese policymakers

Global Minimum Tax a head-scratcher for Vietnamese policymakers

As many countries plan to adopt the Global Minimum Tax Rate (GMTR) in 2024, experts are concerned that the entry into force of the rate would discourage foreign companies from locating their operations in low-tax countries.
taking on a global corporate tax rate

Taking on a global corporate tax rate

Implementing a global minimum tax rate will create conditions to increase tax revenue from foreign enterprises, but at the same time put Vietnam in front of new challenges. Patrick Lenain and Agustin Redonda from the Council on Economic Policies in Switzerland analyse the advantages and the risks of this type of tax for Vietnam.
assessing impact of global corporate tax rate on multinational companies

Assessing impact of global corporate tax rate on multinational companies

In the context of globalisation with the explosion of the digital age, nearly 140 member countries of the Inclusive Framework Forum from the Organisation for Economic Co-operation and Development (OECD), including Vietnam, have agreed to implement a historic global minimum tax (GMT) regime, referred to as Pillar 2.
nation urged to prepare for tax overhaul

Nation urged to prepare for tax overhaul

Tax incentives have always been a key factor in attracting foreign direct investment into Vietnam. However, concerns are arising as a global minimum tax agreement threatens to shake up the entire system and, therefore, foreign funding prospects.
imposing suitable tax rules on cross border providers

Imposing suitable tax rules on cross-border providers

According to an inclusive framework on tax base erosion and profit shifting (BEPS) from the G20 and the Organisation for Economic Co-operation and Development (OECD), a global minimum tax was agreed upon in October 2021 amongst 137 of the 141 nations that are members of the framework – which was a major step forward in supporting sustainable development goals.
wide global ripples expected following g7 tax negotiation

Wide global ripples expected following G7 tax negotiation

Large multinational corporations, including those operating in Vietnam, are carefully watching developments following the landmark corporate tax agreement made by the G7, although market watchdogs are skeptical about a global minimum tax.