Following negotiations in Brazil, treasury ministers and central bankers from the group of 20 major nations agreed to make common comments referencing fair taxation of “ultra-high-net-worth individuals”.
However, an agreement to collaborate on taxing the world’s wealthiest households was stymied by conflicts over how to do it, raising concerns about the plan’s feasibility.
Nonetheless, campaigners at Oxfam International praised the accord as a big step forward.
Its tax policy lead, Susana Ruiz, stated, “This is serious global progress – for the first time in history, the world’s largest economies have agreed to collaborate to tax the ultra-rich.”
She stated that governments have always aided the ultra-rich in paying minimal or no taxes. Massive fortunes give the world’s ultra-rich enormous influence and power, which they use to protect, stash, and supersize their wealth, undermining democracy and increasing inequality.
Brazil, which is hosting this year’s G20 meetings, which will culminate in the leaders’ summit in November, commissioned Gabriel Zucman to conduct an analysis that shows billionaires currently pay taxes equal to 0.3% of their wealth.
