G7 meet: Corporate tax deal in ‘sight’

Finance ministers from wealthy G7 nations on Friday moved towards supporting US-backed plans for a minimum global level of corporate tax aimed at getting multinationals -- especially tech giants -- to pay more into government coffers hit hard by the pandemic. UK finance minister Rishi Sunak was hosting a two-day meet, held in person after easing of Covid restrictions and attended by counterparts from Canada, France, Germany, Italy, Japan and the US. Momentum is building for a minimum level of corporate tax, which is one of two pillars in efforts for global fiscal reforms; the other being a “digital tax” to tax profits of MNCs. “It is increasingly clear that in a complex, global, digital economy, we cannot continue to rely on a tax system that was largely designed in the 1920s,” Sunak said.