FILE PHOTO: Federal Finance Minister Olaf Scholz from the Social Democratic Party (SPD) takes part in a television debate in Berlin on June 26, 2021. REUTERS / Christian Mang / Pool
BERLIN (Reuters) – German Treasury Secretary Olaf Scholz will travel to Washington later this week to meet senior members of the US administration and discuss international efforts to introduce a global corporate minimum tax, a spokesman said on Monday.
Germany and the United States are trying to forge a broad coalition within the group of the major 20 economies (G20) to revise international tax rules, including a global minimum corporate tax of at least 15% with as few exceptions as possible.
The wealthy industrialized nations of the Group of Seven (G7) agreed on June 5 to support a minimum corporate tax rate of at least 15% and to share the rights to tax the largest cross-border companies in their countries.
For the plan to work globally, the support of the G20 finance ministers during a meeting in Venice July 9-10 is seen as crucial zones, with China at its center.
During his four-day visit to Washington, Wednesday through Saturday, Scholz is expected to meet US Treasury Secretary Janet Yellen and other senior members of US President Joe Biden’s administration.
Yellen said she would not agree to any special treatment for China or any other country that would weaken a global minimum tax system. Your talks with Scholz should focus on where both countries see red lines and where they are willing to compromise in order to enable a G20 breakthrough.
Reporting by Michael Nienaber; Editing by Bernadette Baum