A third of multinational companies (34%) estimate that increased tariffs or new non-tariff trade barriers would have a high impact on their business, while 57% say the impact would be moderate, and, in order to mitigate the effects of such measures, nearly 30% would raise prices and 16% would consider moving production and/or exporting to other markets, according to Deloitte 2025 Global Tax Policy Survey. Thus, monitoring tariffs and responding to developments in this policy area is likely to be one of the key features of global tax policy in 2025, as they could replace certain national tax policies in the pursuit of global competitive advantage.
The study explores the impact of five global tax policy themes on multinational companies’ activity, namely transparency and reporting (ranked first, similarly to 2024), followed by the digitalization of tax, sustainability (up from the fifth place last year, noting that the survey was conducted before the European Commission proposed a significant simplification to the European Union sustainability reporting requirements in its Omnibus I initiative), international tax reform (global minimum corporate tax – pillar II of the OECD reform) and future of work.
The first theme – transparency and reporting – remains top concern for multinational companies due to the administrative burden it entails - 82% of study participants estimate that levels of public tax disclosure will increase over the next two-three years, driven by mandatory reporting regimes, including public country-by-country reporting (Public CbC) and ESG (environmental, social, and governance) reporting.
Regarding the second theme, digitalization of tax, 86% of participants said that national authorities continue to make progress toward adopting the OECD (Organization for Economic Co-operation and Development) Tax Administration 3.0 model - a modern, digital tax administration. However, while 77% anticipate benefits, such as improved relationship between taxpayers and tax authorities, less time and resources spent on tax compliance, etc., 22% expect increased costs and complexity of tax reporting. For example, there are signs of growing concern that automated processes, such as e-invoicing, could introduce more complexity than simplification, the study finds.
Sustainability, the third most impactful theme this year (up two places compared to year), is a top priority for more than half of the study participants. At the time of data collection, more than 90% of companies expected a major impact from the EU Carbon Border Adjustment Mechanism (CBAM).
As a consequence of the international tax reform developments (the implementation of a global minimum corporate tax – Pillar II of the OECD agreement), almost half of the study participants expect to pay significantly more taxes, while a similar percentage anticipate only a marginal increase.
From the future of work perspective, the fifth theme explored in the study, cross-border remote work continues to present challenges to businesses and policymakers alike. In this case, the impact is felt across a range of taxes, the primary focus (76%) being on corporate tax matters, such as transfer pricing and the risks around the creation of permanent establishments, followed by employee taxes (69%) and social security contributions (58%).
"In addition to the five themes explored in the study, there is also an increasing uncertainty regarding the tax rules governing cooperation between multiple jurisdictions, such as regulations issued based on OECD recommendations or European directives. In the past, these were the subject of debates spanning over years or even decades, but now they are changing much faster, which poses challenges for companies from a long-term perspective. The amendment of sustainability reporting requirements, which was treated as an emergency, the trade tariffs announced or imposed by the US on several countries, and the retaliation measures are just a few examples that have surprised the international business community. In addition, the EU intends to introduce a tax on companies operating and selling in the EU, with a turnover of at least 100 million euros, as a measure to create sources of financing for the defense plans. This uncertainty also affects multinational companies operating in Romania, so they should advocate, individually or at the group level, for increased international cooperation to ensure consistency and predictability of the tax regulations," said Dan Badin, Tax Partner, Deloitte Romania.
Deloitte 2025 Global Tax Policy Survey, now at its 12th edition, was conducted among tax managers and CFOs, in order to analyze the impact of new international tax regulations on companies worldwide. This year's survey involved more than 1,100 tax leaders in 28 countries.
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