G20 ratchets up pressure on global corporate tax deal holdouts

G20 ratchets up pressure on global corporate tax deal holdouts

The world's largest economies will this weekend pile pressure on to holdout nations which are refusing to sign up to a global tax reform deal that would impose a minimum levy on multinational corporations.

G20 economy ministers and central bankers met in Venice on Friday to discuss the proposal, which was agreed by G7 nations last month and backed by 130 countries at talks hosted by the OECD in Paris earlier this month.

They are expected to formally endorse the agreement, which will force the world's largest multinationals to pay a global minimum corporate tax rate, in a communiqué to be released on Saturday after the meeting.

The OECD proposal also seeks to establish a system under which countries would tax some profits booked by large companies based on where they were generated.

A draft of the communiqué, which was leaked on Friday and verified to the Financial Times by an official from a G20 nation, urges all countries holding out on the deal to concede by the time the leaders of G20 member countries meet in Italy in October.

The precise wording of the communiqué has yet to be finalised, officials from several G20 countries said, but an official from one large country said