Taxes on super rich, tech giants stalled

Global tax plans targeting billionaires and multinational companies are running aground, with the United States torpedoing reforms under President Donald Trump.

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The billionaire real estate tycoon has pulled the United States out of an international deal on taxing multinationals and threatened tariffs on countries that target US tech giants.

Here is a look at the state of play:

BIG TECH TAXES

Countries have accused Amazon, Microsoft, Google owner Alphabet and Facebook's parent company Meta of sidestepping local taxes.

Trump issued a warning on February 21 to countries that would hit big tech and other US companies with fines or taxes that are "discriminatory, disproportionate" or designed to transfer funds to local companies.

"My administration will act, imposing tariffs and taking such other responsive actions necessary to mitigate the harm to the United States," he said in the memo.

The move reopens a rift between Washington and its allies over taxing digital services.

During his first term, Trump threatened to slap tariffs on US imports of champagne and French cheese after France rolled out a digital services tax in 2019.

Seven other countries have followed France's lead since then.