Australia Looks to Extend Simplified Global Tax Calculation

Australia is seeking to update its global minimum tax law to extend by one year a simplified calculation that aids in reducing companies’ compliance burden.

The country’s Treasury on Friday proposed the extension of the calculation method known as the country-by-country safe harbor, which was included as part of a package of administrative guidance released Jan. 5, along with rules effectuating an exemption for American companies from key parts of the minimum levy.

The global minimum tax, also known as Pillar Two of the OECD’s international tax pact, seeks to impose a 15% minimum level of taxation on multinational ...