Europe
News and information from Europe 🇪🇺
(Current banner: La Mancha, Spain. Feel free to post submissions for banner images.)
Rules (2024-08-30)
- This is an English-language community. Comments should be in English. Posts can link to non-English news sources when providing a full-text translation in the post description. Automated translations are fine, as long as they don't overly distort the content.
- No links to misinformation or commercial advertising. When you post outdated/historic articles, add the year of publication to the post title. Infographics must include a source and a year of creation; if possible, also provide a link to the source.
- Be kind to each other, and argue in good faith. Don't post direct insults nor disrespectful and condescending comments. Don't troll nor incite hatred. Don't look for novel argumentation strategies at Wikipedia's List of fallacies.
- No bigotry, sexism, racism, antisemitism, islamophobia, dehumanization of minorities, or glorification of National Socialism. We follow German law; don't question the statehood of Israel.
- Be the signal, not the noise: Strive to post insightful comments. Add "/s" when you're being sarcastic (and don't use it to break rule no. 3).
- If you link to paywalled information, please provide also a link to a freely available archived version. Alternatively, try to find a different source.
- Light-hearted content, memes, and posts about your European everyday belong in other communities.
- Don't evade bans. If we notice ban evasion, that will result in a permanent ban for all the accounts we can associate with you.
- No posts linking to speculative reporting about ongoing events with unclear backgrounds. Please wait at least 12 hours. (E.g., do not post breathless reporting on an ongoing terror attack.)
- Always provide context with posts: Don't post uncontextualized images or videos, and don't start discussions without giving some context first.
(This list may get expanded as necessary.)
Posts that link to the following sources will be removed
- on any topic: Al Mayadeen, brusselssignal:eu, citjourno:com, europesays:com, Breitbart, Daily Caller, Fox, GB News, geo-trends:eu, news-pravda:com, OAN, RT, sociable:co, any AI slop sites (when in doubt please look for a credible imprint/about page), change:org (for privacy reasons)
- on Middle-East topics: Al Jazeera
- on Hungary: Euronews
Unless they're the only sources, please also avoid The Sun, Daily Mail, any "thinktank" type organization, and non-Lemmy social media. Don't link to Twitter directly, instead use xcancel.com. For Reddit, use old:reddit:com
(Lists may get expanded as necessary.)
Ban lengths, etc.
We will use some leeway to decide whether to remove a comment.
If need be, there are also bans: 3 days for lighter offenses, 7 or 14 days for bigger offenses, and permanent bans for people who don't show any willingness to participate productively. If we think the ban reason is obvious, we may not specifically write to you.
If you want to protest a removal or ban, feel free to write privately to the primary mod account @EuroMod@feddit.org
view the rest of the comments
From a game-theory standpoint (which markets are an instance of such a game) he is not even incorrect. If we tax someone at 15%, while the US doesn't they will take their business there (if possible). This is not a normative statement, this sucks and will lead to the world's destruction (literally wiht global warming, and the same for arms races and war). But is is correct.
Here is my (semi) hot take: To really change anything in the world you cannot be game-theoretically naive. We cannot just by cynnical like the market-liberals, because they are willing to sacrifice the planet and humans for their goals.
We need to be post-cynical. Recognising that just claiming the morally right thing will never get us the power to change anything and just striving for the power to change will make us just as evil as them. If we want to change things for the better we have to hold them both in mind.
Not necessarily. If that were universally true, all multinational companies would have their seat in the country with the cheapest taxes, which they clearly do not. There are other factors. But yes, it's one of them.
Anyway, what he should do is fight against the exemption for US companies, especially after Trump now wants to hit the EU with his 30% tariffs anyway, so it doesn't even get us anything.
Alas, he was, until very recently, a Black Rock employee, which is, you may or may not know it, a US company. He is also a far right neoliberal known for favoring corporations and the rich. It's very obvious that the US exemption plays right into his cards and dismantling the whole minimum tax, which is easily the single greatest multinational achievement since World War 2, was always on his agenda.
The global minimum tax isn't that. It literally wouldn't matter if the USA were in or out, because the broad global agreement means, if the Americans don't collect the 15%, some other country can and will. Trump just threatened the G7 into granting an exception, which could have been avoided if they had spines and took a stand.
You're correct in that it's not universally true, but their premise is mostly accurate. Especially in a world which increasingly sees income generated by low-friction IT services. These can be easily relocated.
I'm not sure you understand how this tax treaty is intended to work, or in fact how income taxes work with regards to tax domiciles. Business tax is levied against profit accrued in the location in which the sale is ascribed. Microsoft can sell a German an Office license, and they are liable for zero tax on any profit if the sale is from the U.S. entity. However any products sold in Germany are liable for VAT, and that requires a tax presence. VAT is outside the scope of this tax treaty. It is concerned almost exclusively with tax on profit. By instituting a floor, it doesn't matter if Microsoft domiciles in Germany or Ireland. They're subject the same minimum taxation on profit. This avoids situations like the Double Irish Dutch Sandwich.
The user above is correct: if the U.S. won't impose a tax floor, companie can and will relocate their (at least for tax purposes), if their tax floor (including subsidies and exemptions) is lower.
That is a political decision and can be changed at will.
If it were that simple, Trump would not have had to threaten the G7 for an exception for his companies, he could just have withdrawn from the treaty. This is about the other countries in the treaty not taxing american companies. Because that is the only way you can combat tax havens: by collecting the tax that wasn't paid there yourself, regardless of company presence. "Wanna do business here? Pay your Tages." Companies can evade that if it's just one or two countries doing it, but not if it's a broad alliance.
They never intended to follow through, or do it so anyone can easily defect the agreement.
The US has real power. Economically and military power. There is a reason they published their plans to invade the Hague should any American be convicted at the ICC. Some similar arrangement would be found with this.
You have to think as cynically as possible, the people in power will too. Then think of something that all sides avoid that thing or you will be thrown under the bus by however holds power.