PARIS — The global minimum tax on large multinational corporations helped governments collect more revenue without triggering job cuts or a pullback in investment, according to a new report released Tuesday by the Organisation for Economic Co-operation and Development.
The tax was created to put a stop to decades of countries undercutting each other on corporate tax rates. It works by allowing governments to collect additional taxes when a multinational’s profits are taxed at less than 15% in another country, making it less attractive for companies to route their earnings through low-tax jurisdictions.
So far, more than 60 countries and territories have put the rules into effect, with additional nations preparing to follow suit.
The Paris-based organization estimated that the tax generated between €79 billion and €109 billion — roughly $90 billion to $124 billion — in new government revenue during its first year of operation. That figure represents between 2.4% and 3.4% of total corporate income tax collected worldwide.
The study looked at how businesses adjusted their behavior after the tax took effect in 2024. It applies to multinational companies with annual revenues exceeding €750 million, requiring those firms to face an effective tax rate of at least 15% no matter where they operate.
To measure the tax’s impact, researchers compared companies just above and just below the revenue cutoff. The results showed that businesses subject to the rules paid higher effective tax rates, while there was little sign of any meaningful effect on hiring or capital investment.
Notably, this study was grounded in real-world company data following the tax’s rollout — a departure from earlier OECD analyses that relied on economic modeling.
The revenue figures, while substantial, fall short of the organization’s earlier forecast that the reform could eventually add $155 billion to $192 billion annually to global corporate tax collections. However, officials noted that the current study only covers the first year of implementation.
Because the study focuses solely on 2024, it does not account for a later agreement reached through the Trump administration. That deal exempted U.S.-based multinationals from certain core provisions of the regime through a separate arrangement that gives recognition to the United States’ own existing minimum tax rules.
