TOKYO -- The Group of 20 major economies are set to agree on a basic corporate tax policy that would allocate revenue to countries that provide large user bases for the world's digital corporate giants, sources said on Wednesday, just ahead of a round of meetings in Japan.
The rise of the data economy has sparked controversy, as companies are often able to avoid paying taxes in markets where they have millions of users but no offices or other physical presence. The G-20 -- which brings together the U.S., Japan and European countries along with China and emerging nations -- is reviewing international tax rules formed about a century ago to update them for the digital age.
