The proposal of global tax by Brazil has not supported by the U.S. said Jenet Yellen, Treasury Secretary. This idea is leading the G20 group of major economics this year and has been supported by many ministers along with members of other nations, including France. The proposal says that billionaires have to pay 2% levy on their wealth each year. This is proposed to end international tax avoidance and reducing economic inequality.
This levy tax is similar to the global corporate income tax which was supported roughly by 140 nations. Bruno Le Maire, French Finance Minister said, “This is exactly what we did with minimum taxation on corporate tax.” He also said that, “It would be the same on the international taxation for the wealthiest individuals.”
Global incorporate tax has been supported by Yellen but it does not become a law at that time due to opposition from Republicans in Congress. Along with Yellen has also said that global wealth tax is a step too far as far as the U.S. concerned for individuals.
Yellen also said that, “We believe in progressive taxation, but the notion of some common global arrangement for taxing billionaires with proceeds redistributed in some way—we’re not supportive of a process to try to achieve that. That’s something we can’t sign on to.”