The Biden administration’s subsidies for companies investing in green technologies could be grabbed by foreign governments under global minimum tax rules, in a “massive” transfer of US tax dollars overseas, a group of multinationals is warning.
In summer 2021, 130 of the world’s leading economies signed up to a plan to force multinational companies to pay a global minimum corporate tax rate of at least 15 per cent following negotiations in Paris at the OECD.
But the Global Business Alliance, a Washington trade group representing the largest foreign multinationals investing in the US, says its members face “great uncertainty” over how billions of dollars of new US clean energy tax credits will be treated under the terms of the OECD deal.
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