US Demands on Global Minimum Tax Face Obstacles Overseas

The Trump administration has demanded that the US global minimum tax and the OECD’s minimum tax “coexist,” but the grand ask will face political and procedural challenges from other countries.

Countries involved in negotiations at the OECD have the option of blessing the US tax on foreign-earned income as equivalent to part of the global minimum tax rules. The move would insulate American companies from global minimum tax liability.

Acceptance of the US international tax system would “dramatically reduce a lot of the compliance burden for an awful lot of US companies,” said Pat Brown, a partner and co-leader of ...