G7 leaders strike deal to tax Google, Amazon and other tech giants

The United States, Britain and other large, rich nations reached a landmark deal on Saturday to squeeze more money out of multinational companies such as Amazon and Google and reduce their incentive to shift profits to low-tax offshore havens.

Hundreds of billions of dollars could flow into the coffers of governments left cash-strapped by the coronavirus disease (Covid-19) pandemic after the G7 advanced economies agreed to back a minimum global corporate tax rate of at least 15%.

The decision was taken at the meeting of G7 finance ministers in London.

British Treasury chief Rishi Sunak posted a Twitter thread where he explained what the deal means.