Chicago – June 28, 2025
The United States and the Group of Seven (G7) countries have agreed to support a new proposal that will help U.S. companies avoid some parts of a global tax agreement. On Saturday, the G7 issued a statement saying they have created a “side-by-side” system after the U.S. decided to remove Section 899 from President Donald Trump’s tax and spending bill.
This change means that the U.S. will no longer apply a retaliatory tax that was part of the original bill. The G7 says this new plan will take into account the existing U.S. tax laws and will help make the global tax system more stable.
The U.S. Treasury Department explained that by removing Section 899 from the Senate version of the bill, countries can work together to keep up efforts to prevent tax avoidance by big companies. The department said they are excited to keep discussing this idea within the Inclusive Framework, a group focused on improving international tax rules.
Additionally, businesses in the UK will also avoid higher taxes thanks to the removal of Section 899 from the bill.
