Canada Willing to Compromise With US on Global Minimum Tax

A compromise position allowing a US minimum tax to work alongside the OECD’s global minimum tax is preferable to open-ended retaliation between countries over their tax regimes, a top Canadian tax official said Wednesday.

The Organization for Economic Cooperation and Development’s consideration of a US request to have the 15% global minimum tax “coexist” with the US tax on global intangible low-taxed income, or GILTI, is a “huge part” of the Canadian Department of Finance’s focus right now, Trevor McGowan, associate assistant deputy minister in the department’s tax policy branch, told a Toronto conference.

“I think everyone would rather ...