The move towards globalism is marching full steam ahead.
On Saturday, finance ministers from the world’s 20 largest economies met in Venice and announced that they had agreed to a “more stable and fairer international tax architecture.” The announcement comes just a week after 130 countries agreed to a proposal for a worldwide minimum tax, which Biden has been backing since taking office.
Biden’s administration and the anti-American Globalists are rejoicing. Janet Yellen, Secretary of the Treasury, praised the efforts in Venice. The German finance minister said “it will be implemented and we will have built this international taxation system for the 21st century.” France’s finance minister added “there is no turning back.”
The unprecedented plan, if enacted, would drastically reshape the tax landscape around the world, especially in the US. It would establish a global 15% minimum tax. Proponents of the plan say that it will limit large corporations saving billions of dollars by shifting profits into tax havens. This, coupled with Biden’s plan to pass competition-crushing corporate tax increases reflects the desire of foreign nations to profit off of American companies for operating in their countries.
The implementation of the global tax program hinges on the American legislature. Lawmakers in Washington are preparing to vote on the proposal, likely in two separate parts: “Pillar 1” and “Pillar 2.” They would need to approve separate measures because one requires changes to US tax legislation and the other gives foreign countries new abilities to either tax American business through the altering of existing trade agreements or by creating new ones.
It is expected to easily pass through the House of Representatives but should be met with a harder challenge in the Senate. Biden and the radical democrats could potentially avoid a hangup in the upper house with the domestic part of the new proposal and use reconciliation to pass it with a simple majority with Kamala Harris as the tie-breaking vote.
According to The Financial Times: “Pillar 2, which changes US domestic legislation, could potentially be passed using the so-called reconciliation process. This can be used by US Congress once a fiscal year and bills passed by this route can clear the Senate with a simple majority. The upper chamber is split 50-50 between Democrats and Republicans, with US vice-president Kamala Harris casting the tiebreaking vote. However, Pillar 1, which will probably require treaty changes, would need the support of at least two thirds of the Senate.”
One of the last G20 holdouts for the tax was China. They have been opposed to agreements that would limit setting tax policy as they see fit. The deals now include significant room for countries to add-in exemptions from the global minimum taxes, laying the groundwork for China to sign on and not be required to follow any of the terms.
Instead of focusing on putting American citizens and businesses first, this administration continues to prioritize the interests foreign nations over the United States. Pat Toomey, the most senior Republican member of the Senate Banking Committee, called the global minimum tax “Crazy.”
— National Review (@NRO) July 6, 2021
How does a globalist government get funded? Taxes, of course!