New tax on Hi-tech companies: What you need to know

Picture Courtesy: India Today, Financial Times

1. G 7 has decided to impose higher taxes on the world's largest multinational tech companies.

2. The G7 group has agreed to tax big companies like Google, Facebook, Apple, and Amazon by up to 1% but campaigners claim that this agreement will not last.

3. In the meeting of the Finance Ministers of G7 countries in London it was decided that where companies do their business, they will have to pay a proper tax.

4. In the meeting, it was agreed to tax MNCs up to 15%.

5. Tech giants are likely to be affected by this decision, but they have welcomed the new rules.

6. The NGO Oxfam has said that the minimum corporate tax rate fixed globally will not make much difference.

7. Britain's finance Minister Rishi Sunak, who hosted the summit, said that it will decide a proper tax system for the 21st century.

8. The deal announced on Saturday between the G7 group of wealthy nations - the US, the UK, France, Germany, Canada, Italy, and Japan and EU countries could see billions of dollars flow to governments to pay off debts incurred during covid crises.