The Czech EU Presidency will push for an EU-wide deal on a 15% corporate tax, and Finance Minister Zbyněk Stanjura wants to have the deal by the end of October.
Last year, the Organization for Economic Co-operation and Development (OECD) agreed on fair taxation of large multinational companies. On the basis of this agreement, the European Commission presented a proposal which should implement the reform of the OECD at EU level.
“We are now seeking consensus within the European Union during our presidency, and we aim to find that consensus by the end of October,” Stanjura said. Czech television.
According to the Commission’s proposal, the tax would be imposed on companies whose annual turnover exceeds 750 million euros.
While the European Parliament supports the Commission’s proposal, Member States have not yet reached the necessary consensus. At the meeting of EU finance ministers in June, the proposal was blocked by Hungary, which argued that the EU minimum tax could harm the national economy and put jobs at risk .
Hungary currently imposes a 9% corporate tax, among the lowest in the EU. To adopt a tax reform in the EU, unanimity is necessary. The proposal was also previously blocked by Poland, but Warsaw dropped the veto during negotiations led by the French EU presidency in the first half of 2022.
In the Czech Republic, there is a political consensus on the need for a minimum corporate tax. The previous government, led by former Prime Minister Andrej Babiš, wanted to introduce a national corporate tax but failed to do so. The country is therefore waiting for the EU-wide solution.