DETERRING TAX AVOIDANCE BY GLOBAL COMPANIES

Negotiators from 130 countries have agreed on a major overhaul of how the world’s biggest companies are taxed in an effort to deter international avoidance schemes that have cost governments billions in revenue.

It’s an attempt to better cope with a world where globalization and an increasingly digital economy mean that profits can move easily from one jurisdiction to another. The agreement was sealed in talks overseen by the Paris-based Organization for Economic Cooperation and Development, though there are still details to work out and hurdles to clear before it can take effect in 2023.

The key feature