US President Joe Biden’s push to get major economies to agree on a 15 percent minimum tax rate for multinational corporations has hit turbulence after Ireland’s finance minister expressed “significant reservations” about the plan.
The objection from Dublin’s finance minister carries weight because Ireland hosts an outsized number of technology and pharmaceutical firms that were attracted to the country for its lower tax rate.
His objections come as finance ministers from the Group of Seven advanced nations are set to meet next week in London, where they could endorse the US proposal.
Biden’s administration last month called for agreement on unified tax rate of a minimum of 15 percent rate in negotiations with the Organization for Economic Cooperation and Development and G20.
The European Union’s top economies France and Germany said they would support a tax at that level, and the IMF’s leader also offered her endorsement.