The Strategist

Reuters: India plans to increase taxes on multinational companies

07/17/2023 - 09:22

According to Reuters, India will ask the G20 to approve its proposal to raise the proportion of taxes that multinational corporations must pay to nations where they produce extra profits.

Sources in the Indian government say that under a new international tax structure, India will attempt to boost the percentage of taxes that foreign corporations would be required to pay to nations where they produce surplus profits. 

India will ask the G20 nations to approve the proposal during an upcoming summit of finance ministers and central bank governors.

The state has made the proposals in an effort to obtain a portion of the rights to tax the surplus earnings of multinational corporations, sources say.

Others added that India wants a significant increase in the amount of tax that must be paid in trading nations. Reuters' interviewees did not provide specific figures for the amount that India is demanding. The ideas will be taken into consideration during the G20 summit and have already been sent to the Organization for Economic Co-operation and Development (OECD), the newspaper notes.