OECD attempts to level the playing field

This week, U.S. Treasury Secretary Janet Yellen is meeting with finance ministers from other Group of 20 countries to discuss global tax rates. The Treasury’s goals include “leveling the playing field between U.S. and foreign corporations, ensuring corporations pay their fair share, and preventing the offshoring of American jobs.” The Organization for Economic Cooperation and Development (OECD) has drafted a deal that requires multinational corporations with over $809 million in annual revenue pay at least a 15% tax rate. An income-inclusion rule and an undertaxed-profits rule would support this global minimum tax. But some tax experts are nevertheless skeptical about the OECD plan.