Reuters GraphicsDIGITAL SERVICE TAXWhile the global minimum tax was always expected to bring in far more revenue, the collapse of plans to redistribute taxing rights would not come without consequences. The Biden administration backed the deal in 2021 in part because it requires other countries to abandon existing or planned digital services taxes targeting big U.S. tech groups. France, which the Trump administration hit with tariff action over its digital services tax before the Biden administration suspended it, has said that it will keep the tax in place as long as Pillar I of the deal is not resolved. Against that background, U.S. companies are eager to see progress on a multilateral solution that would get rid of unilateral digital services taxes. U.S. Treasury Secretary Janet Yellen told CNBC last week that the bill had little chance of passing and that the United States would get on board with the global minimum.

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Persons: Peter Barnes, Biden, Trump, Megan Funkhouser, Janet Yellen, Barnes, Leigh Thomas, Christian Kraemer, David Lawder, Catherine Evans Organizations: PARIS, Google, Fiscal Association, Republican, U.S . Congress, Economic Cooperation, Development, Reuters, OECD, Information Technology Industry Council, Republicans, Treasury, CNBC, Trump, Thomson Locations: United States, Paris, France, Washington, U.S, United, Berlin