This report estimates the amount of tax revenue that the EU could raise by imposing a minimum tax on the profits of multinational companies.
The study considers several scenarios for the imposition of such a tax — ranging from an international tax agreement to unilateral measures — and a range of rates.
An international agreement on a minimum rate of 25% would allow the European Union to increase its tax revenues by 170 billion in 2021, an increase of 50% of the corporate tax revenue collected today. With a minimum rate of 15%, the additional tax revenue would only amount to about 50 billion euros.
An EU country that unilaterally chose to subject its multinationals to a minimum rate of 25% and taxed part of the tax deficit of non-resident companies accessing its market would increase its corporate tax revenues by around 70%.
Note (July 2021): Minimizing the Minimum Tax? The Critical Effect of Substance Carve-Outs
Note (October 2021): Revenue Effects of the Global Minimum Tax: Country-by-Country Statistics