The world’s most powerful economies have been at odds over taxation for some time. The goal is to make sure companies are paying taxes to the proper regions.
The Group of 7, or G7, said on June 5 that it had reached an agreement on global tax reform “that will mean the largest multinational tech giants will pay their fair share of tax in the countries in which they operate”.A statement on the G7 website said: “The rules would apply to global firms with at least a 10% profit margin – and would see 20% of any profit above the 10% margin reallocated and then subjected to tax in the countries they operate.”The announcement was made after a meeting of G7 finance ministers in London. The ministers also “agreed to the principle of at least 15% global minimum corporation tax operated on a country by country basis.”UK Chancellor (finance minister) Rishi Sunak posted this footage in response to the agreement. Credit: Rishi Sunak via Storyful
Everyone must play by the same rules, he said at the annual international policy gathering.
Biden s appearance, his debut before an international audience since becoming president, came as his administration seeks to maintain a tough stance on China while moving away from former President Donald Trump s pugilistic relationship with Beijing.
The Trump administration sought to reshape the U.S.-China trade relationship, placing a key focus on boosting Beijing s purchase of U.S. goods while addressing issues including intellectual property protections and forced technology transfers.
After striking the first phase of a deal, Trump in 2020 canceled an additional round of trade talks with China, on which he has placed full blame for the spread of the coronavirus pandemic.