Japan Backs U.S. Move for Global Minimum Corporate Tax Rate

Politics Lifestyle

Tokyo, April 6 (Jiji Press)--Japanese Finance Minister Taro Aso on Tuesday welcomed U.S. Treasury Secretary Janet Yellen's remarks on her country's move to seek a global minimum corporate tax rate.

The U.S. move represents "good momentum toward stopping the race for lower corporate tax rates," Aso told a news conference.

Aso said that the move could also help to advance talks at the Organization for Economic Cooperation and Development on international taxation rules to block tax avoidance by major information technology firms.

Yellen suggested in an online speech Monday that she will call for the introduction of a global minimum corporate tax rate at a teleconference among Group of 20 finance ministers and central bank chiefs set for Wednesday.

Japan's effective corporate tax rate is relatively high among the Group of Seven advanced economies, while its ratio of debt to gross domestic product is estimated at 266.2 pct for 2020, the worst among the G-7 members.

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