Global Minimum Tax in the EU and OECD for an International Company Operating Between Hungary and Germany

Matthes, Linda and Dióssi, Katalin (2025) Global Minimum Tax in the EU and OECD for an International Company Operating Between Hungary and Germany. In: FENNTARTHATÓSÁGI ÁTMENET – INNOVÁCIÓS ÖKOSZISZTÉMÁK – DIGITÁLIS MEGOLDÁSOK: Konferenciakötet. Soproni Egyetem Kiadó, Sopron, pp. 637-651. ISBN 9789633345504

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Abstract

In recent years, multinational enterprises (MNEs) sought ways to minimize or completely avoid their tax burden through targeted tax planning strategies. To counteract these developments and ensure taxation at the place where value is created, the OECD and the G20 states have developed 15 countermeasures called “Base Erosion and Profit Shifting” (BEPS). BEPS Action Point 1 includes the pillar-two-model. The second Pillar introducing a global minimum tax. In this tax law construct a low tax rate (e.g., 9%) raises to a minimum tax rate of 15 percentage points, resulting in an additional tax burden (e.g., 6 percentage points in the example) that must be borne by an entity within the MNE. Especially MNEs with entities in Germany and Hungary could be affected by this new ordinance. This paper analyses the principles of Pillar 2, its impacts on such corporate structures, and the financial challenges involved. Finally, it examines whether the global minimum tax fosters sustainable economic decisions or acts as an impediment to them.

Tudományterület / tudományág

social sciences > business and management
social sciences > economic science(s)

Faculty

Not relevant

Institution

Soproni Egyetem

Item Type:	Book Section
SWORD Depositor:	Teszt Sword
Depositing User:	Csaba Horváth
Identification Number:	MTMT:36063760
Date Deposited:	01 Apr 2025 10:40
Last Modified:	01 Apr 2025 10:40
URI:	http://publicatio.uni-sopron.hu/id/eprint/3571

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