US Multinationals Exempted: Global Tax Deal Undermined
The Organization for Economic Cooperation and Development (OECD) finalized a deal with nearly 150 countries to prevent large global companies from shifting profits to low-tax nations, a plan initially developed in 2021. This revised agreement excludes large U.S.-based multinational corporations from the 15% global minimum tax, following negotiations. The deal aims to enhance tax certainty and protect tax bases while stopping companies from utilizing tax havens, such as Bermuda and the Cayman Islands. However, critics, including tax transparency groups, argue that this amended plan could allow major American companies to continue avoiding taxes.
John Q. Hosedrinker