Can the Global Corporate Tax Clip Corporate Power?

from DM publication

What is the Proposed Global Corporate Tax?

In early October, The Organization for Economic Cooperation and Development (OECD), consisting of 136 countries representing more than 90% of global GDP, agreed to levy a global corporate minimum tax rate of 15% on overseas profits from 100 of the world’s largest and most profitable multinational corporations (referred to as MNCs). In addition, each country would be entitled to share in the revenue generated by the tax, which should raise a total of $150 billion. The increase in funds will allow developing countries to better pay for the effects of the covid pandemic, although the deal will not take effect until 2023.

The Historical Context of State’s Trying to Control Capital

Throughout history, there has been tension within the state between its governing body and other organizations. The state in its earliest forms can be viewed more as tribes than bureaucracies. Nevertheless, the struggle always came down to control of resources. The resources can take three forms: people’s loyalty, physical elements, or economic activities. Examples of each struggle can be easily illustrated during specific historical periods.

During the medieval ages, it was the state versus the church vying for allegiance; in the 19th century, it was the state…