Under Pillar two of the OECD/G20 agreement, a minimum tax of 15% is recommended for multinationals. We recommend that this tax be set at 25%, because it would take into account the provincial tax that is added to the federal tax in most Canadian provinces.
In Quebec, the tax rate charged to large corporations is about 11.9%. Adding the federal tax would put other countries on a par with Canada. In this way, the tax burden on large multinationals would be fair for all countries. That's pillar two.
Pillar one of the OECD/G20 agreement focuses more on the federal tax on digital services. On this topic, we can commend the current government for refusing to extend the deadline for negotiating this tax with other countries. There have already been several postponements on this issue since 2021. The government should therefore stick to implementing this tax in early 2024.