Civil society groups back Uhuru snub of Biden tax plan

Civil society groups have hit out at US President Joe Biden administration’s push for a global minimum rate of tax on multinational companies saying the deal as currently structured will not ensure equity in taxation of multinational firms - a position echoed by President Uhuru Kenyatta’s administration.

The Tax Justice Network, a group campaigning for transparency criticized the Paris-based Organisation for Economic Cooperation and Development (OECD), for failing to live up to the “original ambition” of the plan, and said that the watered down measures mean that only a “sliver of the profits” of multinationals will become taxable, while incentives to shift profits remain sizable.