A new directive, which introduces a minimum effective tax rate of 15% for multinational companies operating within the European Union, came into force on Monday 1 January.
This applies to large companies with a combined annual turnover in excess of €750 million and a parent company or subsidiary located in an EU country.
The directive includes a common set of rules for calculating and applying a ‘top-up tax’ payable in a given country if the effective tax rate is below 15%. If a...