U.S. Exits Global Minimum Tax Plan

In an executive order, President Donald Trump declared that a global corporate minimum tax plan “has no force or effect” in the United States. This effectively pulls the U.S. out of the Organization for Economic Co-operation and Development (OECD) global tax proposal negotiated with nearly 140 countries by the Biden administration in 2021. Republicans on the House Ways and Means Committee have introduced a bill, the Defending American Jobs and Investment Act, that would officially end U.S. involvement in the tax arrangement. The bill would also create a reciprocal tax that would target foreign countries that assess unfair taxes on American companies under the OECD’s global minimum tax.