The Ministry of Finance has today submitted draft Norwegian rules on global minimum taxation. These rules apply mainly to large concerns with an annual turnover of at least €750 million. Their purpose is to protect the tax base against profit shifting and counteract harmful tax competition in the international arena.
The introduction of these rules is the result of extensive cooperation on the reform of international tax rules for large international groups. This work is carried out within the framework of the Inclusive Framework, an international cooperation organization within the OECD, which brings together over 140 member countries. For several years, work has also been carried out on adapting tax regulations to the new challenges related to the digitization of the economy.
At least 15 percent for large
Political agreement on a two-pillar solution was reached in 2021. The second pillar of this solution is to introduce a minimum tax rate of at least 15 percent for large, multinational groups in all countries where they are based. The draft Norwegian legislation proposes rules to help implement this global minimum taxation. These principles are based on the benchmark principles developed by the Inclusive Framework.
Finance Minister Trygve Slagsvold Vedum emphasized that the goal is also to create a fair system tax in Norway. The regulations are intended to limit unfavorable tax competition between countries and make it more difficult for foreign companies to transfer profits in order to avoid taxation In Norway. As a result, international companies will pay the appropriate taxes and make a greater contribution to Norwegian society.
The proposal to introduce these rules is expected to come into force from 2024, which is in line with the timetable of other countries planning similar actions.
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Source: regjeringen
