Argentina: Announced G24 Comment on the Two-Pillar solution

The G-24 Working Group on Tax Policy and International Tax Cooperation submitted a comment on the Statement on a Two-Pillar Solution to Address the Tax Challenges Arising from the Digitalisation of the Economy which was agreed upon on 1 July 2021. The G-24 suggests that the percentage of reallocation should be higher or at the very least not be lower than 30% of multinationals’ non-routine profits, since developing countries will not see a difference otherwise in regard to the tax revenues. Furthermore, an elective binding dispute resolution mechanism should be introduced so that issues relating to the "Amount A" can be solved with a binding effect. Moreover, the Group supports the Subject to Tax Rule (STTR) standard to address the base erosion.