Global tax deal gets boost as European Union delays push for digital levy

Over the weekend, G-20 nations agreed on the outlines of a global corporate-tax agreement.

The European Union said Monday that it would postpone its push for a controversial digital levy to focus on a negotiation over a broader minimum global tax deal struck by the world’s largest economies.

The US has lobbied against the levy on digital sales that was likely to hit Silicon Valley giants’ business in Europe. The EU had pledged to introduce a levy if there was no progress on a more sweeping effort to tax corporations more uniformly. Such a pact now seems more likely after the Group of 20 endorsed the principles of a global-tax agreement.

Taxation