6/8, 10:23 PM (Source: TeleTrader)
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Sunak looking to exempt London city from global tax deal - report

United Kingdom Chancellor of the Exchequer, Rishi Sunak, is pressing to get the City of London a carve-out from the G7's agreement for a new global minimum tax for the world's largest corporations and tech giants, Financial Times reported on Tuesday citing an anonymous UK official close to the matter.

Sunak fears that the global tax reform may affect international banks, headquartered in London, and therefore he is pushing for an exemption for financial services entities. Another reasoning for the exception proposal explains that financial businesses are generally required to have appropriately capitalized entities in each jurisdiction and hence pay the right level of local tax.

"Our position is we want financial services companies to be exempt and EU countries are in the same position," an anonymous British official said. After raising the issue at the G7 summit in London, Sunak is now looking to make his case during the G20 talks next month.

Breaking the News / LH