G-7 Nations Sign Pact To Make Corporations Pay Fairer Taxes

The pact supports a minimum corporate tax rate of at least 15% to make it more difficult for companies to avoid paying.

LONDON (AP) — The Group of Seven wealthy democracies agreed Saturday to support a global minimum corporate tax rate of at least 15% in order to deter multinational companies from avoiding taxes by stashing profits in low-rate countries. G-7 finance ministers meeting in London also endorsed proposals to make the world’s biggest companies — including U.S. based tech giants — pay tax in countries where they have lots of sales but no physical headquarters. Britain’s Treasury chief Rishi Sunak, the meeting’s host, said the deal would “reform the global tax system to make it fit for the global digital age and crucially to make sure that it’s fair, so that the right companies pay the right tax in the right places.”