Oil major Shell paid US$12.6 billion in corporate income taxes and government royalties after posting a pre-tax profit of US$30 billion in 2021.
The announcement was made in the recently issued fourth Voluntary Tax Burden Report. This report details the corporate income tax paid by the company in 99 countries and locations in 2021 and the company’s total tax burden in 21 countries.
According to the report, the company paid US$5.7 billion in corporate income taxes and recorded US$279 million in withholding taxes, resulting in a total income tax and withholding tax of US$6 billion as reported in the country-by-country report. has occurred.
Chief Financial Officer Sinead Gorman noted that the tax landscape is changing, and in 2021 the OECD will require companies to earn income outside of where they have their tax residence. proposed a framework to meet the tax challenges of today’s digital economy. “This framework aligns taxes with where earnings are actually made and aims to introduce one of the lowest corporate income taxes in the world at 15% on all earnings, wherever multinationals are located. I will,” she said.
Gorman added: Once this framework is implemented, we expect to pay higher taxes in some of the countries in which we operate, as corporate income tax rates are currently below 15%. “
“We regularly review our entities in low tax jurisdictions to ensure that our presence is in line with responsible tax principles and that we are there for commercial reasons. Since 2019, we have closed 18 entities in low-tax jurisdictions and liquidated an additional 33. This review will continue,” she concluded.
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