G-7 Strikes Landmark Deal on Taxing Multinational Tech Giants

Automatic TRANSCRIPT

This articles from happens to be from Reuters, Okay? But you know, it says Tech giants and tax havens targeted by historic G seven deal and so, uh, I'll just read a couple of paragraphs, and then we chat about the United States. Britain. And other large rich nations reached a landmark deal on Saturday today to squeeze more money out of multinational companies such as Amazon and Google and reduce their incentive to shift profits to low tax offshore havens. Hundreds of billions of dollars could flow into the coffers of governments left cash strapped by the Covid 19 pandemic after the G seven advanced economies agreed to back a minimum global corporate tax rate. Of at least 15%. And the article goes on to talk a little bit about how that might affect affect Facebook and how it may or may not affect Amazon and so forth. What I thought was interesting in some of the structure of the deal. Was they were targeting corporations that had margins gross margin above 10% 10%, so they weren't even necessarily We're going after companies that make $400 billion They're going after companies that make Over 10% profit. Mhm and Yeah, I mean, and so the interesting thing was, you know, Okay. You think of your average grocery store? They're They're working awful One or 2%. Right margin. I mean, those are kind of raising their dealing with volume. Yeah, right. Well, Amazon Kind of lives in that space. I mean, they're not at one or 2%, but They're you know, they're not necessarily to 10% profitability

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