U.S. Treasury officials participate in OECD meetings, proposal for global corporate minimum tax rate

A proposal for a global corporate minimum tax rate

A proposal for a global corporate minimum tax rate

The U.S. Treasury Department today issued a release regarding discussions with representatives from other countries of a proposal for a global corporate minimum tax rate.

Officials from Treasury’s Office of Tax Policy this week participated in meetings with the Steering Group of the Inclusive Framework on base erosion and profit shifting (BEPS) as part of the Organisation for Economic Cooperation and Development (OECD) / G20 international tax negotiations. As part of those meetings, there were discussions about a global corporate minimum tax rate.

As noted in a Treasury release, the U.S. officials expressed their belief that:

  • The international tax architecture must be stabilized.
  • The global playing field must be fair.
  • There must be an environment in which countries work together to maintain tax bases and determine that the global tax system is equitable and equipped to meet the needs for the 21st Century global economy.
  • Countries must work multilaterally to end the pressures of corporate tax competition and corporate tax base erosion.

The U.S. Treasury officials proposed that “the global minimum tax rate should be at least 15%” and that this 15% rate would be a floor and that discussions need to continue “to be ambitious and push that rate higher.”

 

 

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