Finance ministers from the U.S. and Europe expressed confidence that a global tax deal endorsed by the Group of 20 on Saturday has enough momentum to overcome domestic political obstacles in time for it to be finalized in October.
“There’s more work to be done, but I’m really hopeful that with the growing consensus we’re on a path to a tax regime that will be fair for all of our citizens,” U.S. Treasury Secretary Janet Yellen told reporters on the sidelines of the G‑20 meeting in Venice.
The landmark agreement aims to revamp rules that have allowed major companies to save billions by shifting profits to low tax jurisdictions. A total of 132 countries last week backed the two-pillar accord at the OECD that seeks to address that situation with a global minimum rate, as well as making multinational companies pay more in places where they operate rather than where they are headquartered.