Poland wants tax for digital giants - FinMin says

Poland wants to see all of the international taxation reforms implemented, not just the global minimum corporate tax, but most of all it wants the digital giants to be taxed, the country's finance minister has said.

EU finance ministers failed to agree on an overhaul of taxation on multinational companies at their Friday meeting in Luxembourg.

Magdalena Rzeczkowska, Poland's finance minister, said that although it was not possible to come to a unanimous agreement, she was satisfied because that Poland's demands had been entered into the current draft.

She said that Poland's aim was both to tax digital giants and introduce the minimum tax rate that was designed to stop companies from seeking to park their profits in tax havens.

"Both of these goals are covered by the 'Two Pillars' of the OECD's solution and therefore Poland wants the whole reform to be implemented," Rzeczkowska said and explained that the so-called Pillar One determines where taxes will be paid by the world's largest corporations, and Pillar Two sets the minimum tax rate.

Rzeczkowska added that over the past few months, Poland had been committed to negotiate guarantees that not only Pillar Two of the OECD solution will be implemented in the European Union, but also that Pillar One would address the tax challenges arising from the digitisation of the economy.

On Friday, Poland lifted its opposition to the EU's plans to set a minimum corporate tax of 15 percent on big multinationals from 2023, but Hungary's veto prevented a deal that requires the backing of all 27 EU states.