Official announcements from the OECD

Trump Withdraws U.S. From OECD Global Minimum Corporate Tax Agreement, Affecting 140 Countries and 15% Minimum Tax on €750 Million Revenue

Jan 21, 2025, 10:55 AM

On January 21, 2025, President Donald Trump announced the withdrawal of the United States from the OECD agreement establishing a global minimum corporate tax rate of 15%. This decision impacts a framework that included participation from 140 countries, aimed at preventing corporate tax avoidance and ensuring that multinational corporations contribute a minimum tax. The OECD has stated it will continue to collaborate with the U.S. and other nations on multinational taxation despite this withdrawal. The agreement specifically targeted companies with revenues exceeding €750 million, intending to address profit shifting and tax evasion practices. Trump's move raises questions about the future of international tax cooperation and the potential implications for the European Union and the United Kingdom.