The G7 hopes to seal agreement to make big multinational companies pay more tax

Overnight in London, the G7 hopes to seal an agreement to stop big multinational companies from exploiting tax loopholes.

This would affect companies such as Facebook, Apple, Netflix, Google and Microsoft.

The G7 finance ministers hope to sign-off on a global corporate tax rate of at least 15 per cent. 

In New Zealand, Google currently pays much less than that.

The Government estimates the company earned around $800 million in the last financial year, but only paid around $2.3 million in tax.

That is around 0.3 of 1 per cent.

The Government has said it is ready to go it alone with a local digital tax if the G7 deal falls over.