5 biggest EU economies warn US about massive tax overhaul

The EU’s top five economies are warning the US that its massive tax overhaul could contravene some of its international obligations and risks “having a major distortive impact on international trade,” AP reports. In a letter to US Secretary of the Treasury Steven Mnuchin, the finance ministers of Germany, France, Britain, Italy and Spain wrote they had “significant concerns” about three tax initiatives. They include the so-called base erosion and anti-abuse tax Senate bill. The five wrote that “it is important that the US government’s rights over domestic tax policy be exercised in a way that adheres with international obligations to which it has signed-up,” according to the report.