Companies Ask for ‘Safe Harbors’ to Ease Burden of Minimum Tax

Companies and business groups are proposing a host of “safe harbor” ideas to make it simpler for them to comply with the pending 15% global minimum tax.

Many of the ideas center on allowing companies to skip some of the detailed calculations they would otherwise have to perform to determine whether they have to pay the minimum tax. This would be in countries where the tax regimes are already tough enough that it’s unlikely they would fall below the 15% minimum rate, part of the 2021 global tax deal’s Pillar Two. Providing such exemptions and shortcuts would help ease the ...