The global tax deal represents a major reform to the rules governing the international tax system, aiming to bring an end to tax havens and profit-shifting by multinational enterprises (MNEs). By introducing a global minimum tax rate and new profit reallocation rules, the deal aims to give countries a fairer chance to collect tax revenues from MNEs operating in or generating revenues from their jurisdictions. The deal was negotiated under the OECD/ G20 Inclusive Framework on Base Erosion and Profit Shifting (BEPS), and finalized in October 2021. The deal specifically aims to address challenges that arise from the digitalization of the economy, and is broken down into two pillars: » Pillar 1 aims to reallocate MNE profits and taxing rights to market jurisdictions. » Pillar 2 introduces a global minimum tax rate.