Thirty more tax changes will be triggered in two weeks as Rishi Sunak delivers the second half of his budget.
A proposal for an “Amazon Tax” for online businesses that made huge profits during the lockdown should be included.
For the first time, the Chancellor split the budget in two and long-term tax consultations were presented on March 23.
Mr. Sunak spoke to US Treasury Secretary Janet Yellen and G7 Treasury Ministers about how digital giants should be taxed Mirror online.
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The Chancellor said: “One of my priorities is to reach an international agreement on a new way of taxing these companies.”
So far, Mr. Sunak’s hands have been tied because multinational taxation is regulated by treaties concluded between the 37 member countries of the world trade group OECD.
But many of those contracts were put down 60 years ago – long before the digital age.
Labor analysis shows that Mr Sunak will save £ 64.5 billion in public spending over the next five years.
Shadow Chancellor Anneliese Dodds said: “The Chancellor is desperate to bring us back to the same failed policies that weakened our pre-Covid economy.
“It’s amazing that he believes our schools and hospitals don’t play a role in our recovery.”
Paul Johnson of the Institute for Fiscal Studies said Sunak will be forced to spend more on the NHS, education, courts, transport and welfare, adding that its spending plans “look implausibly low”.
The Treasury Department is keen to avoid another lockdown that would further weaken the economy.
A source said, “There are many different costs – lost lives, children’s education, and people’s jobs. We have to make the right decisions to balance all of these things.”
After Brexit, Mr Sunak did not rule out any further import controls on EU goods that could affect the UK’s tradability.
But he added, “The systems and IT are on the right track, but we’re reviewing everything to make sure it’s going as smoothly as possible.”