Keep Digital Taxes Paused to Finish Global Pact Work, Group Says

The current pause on digital services taxes should be extended to allow for more time to complete work on the new plan to reallocate taxes under the 2021 global tax agreement, a business group says.

The plan, under Pillar One of the Organization for Economic Cooperation and Development’s agreement, would reallocate a portion of big companies’ taxes to countries in which they do business but don’t have a major physical presence.

Work on Pillar One’s details by the OECD is still going on, and an agreement to suspend individual countries’ taxes on digital revenues expires at the end of the ...