Withdrawal from OECD Global Minimum Tax Agreement

On January 20, 2025, the Trump administration withdrew the United States from the OECD Global Tax Deal, a 2021 agreement establishing a 15% global minimum corporate tax rate. The withdrawal removes U.S. participation in coordinated international tax enforcement that was designed to prevent corporations from shifting profits to low-tax jurisdictions. Americans may see changes in corporate tax competition between countries and potential effects on federal revenue from multinational corporations.