UK loses £600 million yearly tax revenue under US exemption

Britain is set to forgo about £600 million in yearly tax receipts after the United States received an exemption from a 15 percent global minimum tax agreed by nearly 150 countries. HMRC officials disclosed the figure during a Public Accounts Committee hearing examining multinational tax compliance.

U.S. exemption The agreement was finalized in January by the Organisation for Economic Co-operation and Development. It aims to limit profit shifting by large multinational companies to low-tax jurisdictions. The United States is exempt from the Pillar 2 tax rule that forms part of the deal.