Reported 5 months ago
At a G7 Finance Minister and Central Bank Governors' Meeting in Stresa, U.S. Treasury Secretary Janet Yellen expressed efforts to salvage a part of the global corporate tax deal focused on highly profitable multinational firms, but highlighted that India is not engaging on issues crucial to U.S. interests. Yellen also mentioned that China has been largely absent in the negotiations for the OECD corporate tax deal's "Pillar 1." The negotiations are crucial in reallocating the taxing rights on U.S.-based digital giants, potentially impacting around $200 billion in corporate profits. Yellen emphasized two key issues for the U.S. in the talks, with India being a roadblock. Failure in the negotiations could lead to the re-imposition of digital services taxes in some countries and reignite trade tensions, with Italy aiming to negotiate an agreement with the U.S. to halt tariffs on imports while keeping its levy in place.
Source: YAHOO