U.S. President Donald Trump's decision to pull out of an international tax agreement and investigate whether other countries impose extraterritorial or discriminatory taxes on U.S. companies could open the door to trade retaliation and punitive tax measures targeting foreign companies and individuals, as well as a broader conflict over the taxation of U.S. tech companies. One of the ''Day One'' executive orders Trump signed on Jan. 20 stated the United States would no longer honor any commitments made by former President Joe Biden to the Organisation for Economic Cooperation and Development, or OECD, as part of a global tax deal reached in 2021, in which 140 countries agreed to impose a global minimum tax on large multinational companies (the bulk of whom are based in the United States). The order also directed the U.S. Treasury Department and the U.S. Trade Representative, or USTR, to investigate other countries' tax policies to...
