The U.S. Biden administration, which is trying to strengthen taxation on corporations, has proposed new tax rules to tax each country's sales to about 100 giant companies operating across national borders, and is international. It seems that the aim is to lead the discussion in corporate tax reform.
Regarding the taxation of companies that do business across national borders, the OECD (Organization for Economic Co-operation and Development) is proceeding with the creation of rules called "digital taxation" with huge IT companies in mind.
Regarding this, the Biden administration has proposed to major countries such as Japan and Europe new tax rules that tax about 100 companies operating in the world, regardless of industry, according to the sales of each country.
Western media have reported that not only giant IT companies called "GAFA" but also automobile manufacturers are expected to be targeted.
The former Trump administration was reluctant to participate in international debates, being wary of the progress of "digital taxation" rulemaking in the form of targeting American IT companies.
On the other hand, the Biden administration is also calling for a common minimum tax rate to end the competition for corporate tax reduction among countries, and by making a new proposal for "digital taxation", it is an international corporation. It seems that the aim is to lead discussions while setting out a cooperative stance with each country through tax reform.