There are rules for RoW and there are rules for the USA. Astonishing that the G7 falls in this trap again and again (for example Basel III). The US was a major driver in pillar 2 but won‘t adhere to it. Probably companies will restructure their organization to have two streams and exploit it. Despite GILTI, some US companies have low ETRs.
It's so much that the G7 exempted them but more that they just set the global minimum to zero.
I think this is completely reasonable, services should use the same customs / duties mechanism on "import" as any other goods. The income tax should be also paid the same way. And if the product is created in multiple countries (licenses, Software Components etc), they are part of the whole product and tarifs for parts of goods should similarly apply.
On a related note:
> With just 13 days until the Trump-imposed deadline to conclude a EU-U.S. deal, European Commission President Ursula von der Leyen decided the time for conventional negotiating tactics was over.
> She floated the idea that the EU’s 27 countries could join forces with 12 members of the Asian-led Comprehensive and Progressive Agreement for Trans-Pacific Partnership bloc (CPTPP) — which now includes the U.K. — to form a new world trade initiative.
> The new grouping would redesign a rules-based global trading order, reforming or perhaps even replacing the now largely defunct World Trade Organization, she said.
> Crucially, the U.S. would not automatically be invited.
https://www.politico.eu/article/eu-leaders-donald-trump-us-t...
The US is locking itself out of world trade with their behavior. The price to pay for actions like these will far outweigh any benefits.
America is rapidly squandering its soft power in a foolish pursuit of short-term gains.
To pull this shit in times of a rapidly rising China and a remilitarizing EU is to accelerate the shift to multipolarism and giving up global superpower status.
It sure would be nice if the western world didnt have the same relationship with America that Belarus has with Russia.
So do the rest of the world's companies still have to pay the minimum 15 percent tax if they operate in America?
What's the "compromise" here?
You can just do things.
The "investment" on the military paying off
A minimum tax is a bad idea. Taxes tend to creep up, and the main pressure against that is for companies or people to leave.
https://archive.ph/Pkxun