G20 Leaders Plunk for Corporate Tax Deal

G20 Leaders endorsed on Saturday a global minimum tax aimed at stopping big businesses from hiding profits in tax havens and also agreed to get more COVID vaccines to poorer nations.

The leaders broadly backed calls to extend debt relief for impoverished countries and pledged to vaccinate 70% of the world's population against COVID-19 by mid-2022.

 

The corporate tax deal was hailed as evidence of renewed multilateral coordination, with major corporations facing a minimum 15% tax wherever they operate from 2023 to prevent them from shielding their profits in off-shore entities.

"This is more than just a tax deal – it's diplomacy reshaping our global economy and delivering for our people," U.S. President Joe Biden wrote on Twitter.

With the world roiled by rising energy prices and stretched supply chains, Biden was expected to urge G20 energy producers with spare capacity to boost production, notably Russia and Saudi Arabia, to ensure a stronger global economic recovery, a senior U.S. administration official said.