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The G7 Finance Ministers announced an agreement on June 5, in which the participating countries committed to new taxing rights that allow countries to reallocate some portion of profits of large multinational companies to markets (i.e., where sales arise—'Pillar One’), as well as enact a global minimum tax rate of at least 15% (‘Pillar Two’).  The meeting marked an early test of whether the US position on the OECD Inclusive Framework’s ‘Taxation of the Digitalising Economy’ project would provide momentum to finding a common base for agreement. 

While much attention in the coming days will be focused on the statements from the G7 meeting, a more important indicator of whether major corporate tax changes are coming will be those determinations made by the Inclusive Framework at the end of June and the G20 Finance Ministers next month.