New disclosure requirements show that huge American corporations lowered their tax bills by billions of dollars through the use of tax havens in 2025, while U.S. anti-abuse rules struggled to keep up.
FACT is hiring a new Executive Director, the OECD makes changes to the global corporate minimum tax, the 11th Circuit upholds the CTA, and Treasury delays much-needed AML safeguards for the private investment sector.
Though the establishment of a new “side-by-side” regime exempting U.S. corporations is a regrettable and unnecessary setback, the OECD’s global minimum tax remains a generational leap forward in the fight against corporate tax avoidance.
Instead of undermining multilateral tax cooperation, Congress should address incentives in the U.S. tax code that encourage the offshoring of jobs and profits by American multinational companies.
Small steps in the right direction do not address the core problem of our international tax code: there is no reason to keep giving tax breaks to companies when they move profits and jobs overseas.
The OECD/G20 Inclusive Framework Multilateral Convention to Implement Amount A of Pillar One represents a historic and long overdue step to allow greater taxing rights for destination countries, as well as a potential source of expanded US public revenues.
