Finance
G20 finance chiefs seek early signing of digital service tax treaty
The finance chiefs of the Group of 20 economies agreed Friday to aim for the signing “as soon as possible” of a tax treaty that would target digital giants and multinationals, underscoring the need for a fairer and progressive taxation system with the super-rich also in mind.
Wrapping up two days of talks in Rio de Janeiro, the G20 economies also reiterated their commitment to ensuring stability in the foreign exchange market, on the view that excessive and disorderly fluctuations would negatively impact their financial systems at a time of a strong dollar.
Many countries are currently engaged in finalizing the text of a digital service tax treaty for fairer taxation. The objective is to require companies to pay a fair share of tax in countries where they do not have a physical presence but generate profits by offering services.
Japanese Finance Minister Shunichi Suzuki speaks at a press conference after a meeting of G20 finance ministers and central bank governors wrapped up in Rio de Janeiro on July 26, 2024. (Kyodo)
Brazil, chair of the G20 this year, has placed importance on addressing inequality and proposed taxing the super-rich as part of the efforts to make taxation fairer.
“It is important for all taxpayers, including ultra-high-net-worth individuals, to contribute their fair share in taxes,” the G20 said in its outcome document on international tax cooperation.
“Aggressive tax avoidance or tax evasion of ultra-high-net-worth individuals can undermine the fairness of tax systems, which comes along with a reduced effectiveness of progressive taxation,” it said.
The signing of the treaty has faced hurdles, with the most recent goal of June missed. Critics blame the likes of Apple Inc., Google LLC and other global tech giants for failing to shoulder their fair share of tax.
“We think highly of the joint document on international tax cooperation, the first of its kind for the G20,” Japanese Finance Minister Shunichi Suzuki told a press conference after the meeting.
The G20 took up a range of issues affecting the global economy, including the impact of Russia’s war in Ukraine and geopolitical risks.
The finance ministers and central bank governors took note of the increasing likelihood of a “soft landing” for the global economy, adding that upside and downside risks are balanced.
“Well-calibrated” monetary policy has helped ease inflation, and central banks will adjust their policies in a “data-dependent” manner, they said in a joint communique.
The ministerial talks coincided with a sharp rise of the yen against the dollar, with some market players betting the Bank of Japan will raise interest rates next week, a positive factor for the Japanese currency.
U.S. presidential candidate Donald Trump has recently singled out the yen and Chinese yuan in taking issue with the dollar’s strength. Market expectations that Trump, viewed as pro-business and pro-tax cuts, will return to the White House have sent share prices higher.
During the meeting, Japan expressed its “concern” about excessive volatility in the currency market, according to Masato Kanda, the country’s top currency diplomat.
Aggressive interest rate hikes in the United States have strengthened the dollar against other currencies, which in turn has raised concern among some emerging economies about the depreciation of their own currencies and capital flight.
Despite the release of the outcome documents, the G20, which also includes China and Russia, failed to bridge rifts over certain issues like Russia’s invasion of Ukraine and the conflict in the Middle East.
“Some members and other participants considered that these issues have an impact on the global economy and should be treated in the G20, while others do not believe that the G20 is a forum to discuss these issues,” Brazil said in its chair’s summary.
The gap between Western nations that have condemned Moscow’s invasion of Ukraine and imposed sanctions, and others like Russia and China has prevented the G20 from issuing consensus documents after meetings in recent years.
The G20 includes the Group of Seven — Britain, Canada, France, Germany, Italy, Japan and the United States plus the European Union — as well as Australia, India, Saudi Arabia, South Korea and South Africa among others.
Related coverage:
G7 finance chiefs say excessive forex moves bad for global economy
G20 finance chiefs fail to issue joint statement amid war in Ukraine
Finance
Low-income Chinese girl aces gaokao, inspires live-streamers offering help
A girl from a disadvantaged rural family in central China topped this year’s gaokao, attracting numerous live-streamers eager to finance her education, which she declined.
The home of 18-year-old secondary school graduate Han Yaping in a Henan province village was recently bustling with live-streamers.
This attention came after Han achieved an impressive score of 699 out of 750 in the gaokao, China’s national college entrance exam.
She has received offers from China’s two leading universities, Tsinghua University and Peking University.
Han’s accomplishment is particularly remarkable given her family’s impoverished circumstances.
Her mother suffers from ankylosing spondylitis, an inflammatory arthritis affecting the spine, preventing her from working. Her father, who earns a living through farming and odd jobs, serves as the family’s sole provider. Han also has a younger sister.
Finance
UK financial regulator publishes landmark AI review
The UK’s Financial Conduct Authority (FCA) published a landmark review on Monday that proposes recommendations to regulate the impact of artificial intelligence (AI) on the financial decisions made by consumers.
The review, titled the Mills Review, anticipates that both consumers and firms will start delegating “more financial decision-making to AI systems,” including for agreements, initiating transactions, and executing decisions “within agreed parameters.” One of the key findings of the review outlined that while AI can help bridge advice gaps and “support growth,” there remain risks “associated with fraud, cyber security, and consumer harm.” Conducting the review, Sheldon Mills highlighted that “AI can also amplify risks: bias, discrimination, exclusion, opaque decision-making (particularly when multiple AI models interact), misleading or hallucinatory advice and erosion of consumer trust.”
The review stated that presently, one in five adults in the UK are “already open to AI making decisions for them,” particularly when decisions feel “complex or high stakes.” It found that roughly 26 percent of the population “trust general-purpose tools such as ChatGPT, Claude or Gemini for financial advice” with little awareness that such platforms provide no “formal routes to recourse” or protections.
Overall, the Mills Review identified four areas that it anticipates will be impacted by AI in the financial sector: “the transformation of firms,” “new consumer journeys,” “a reshaped competition landscape,” and “amplified financial crime and cyber risk.” The FCA projected the shift in how consumers and firms consult AI to take place by 2030.
The Mills Review put forth seven “priority” recommendations to be considered by the FCA Board. It recommended that any transitions to autonomous AI models be monitored and that regulatory frameworks and perimeters be adapted and secured. The review called for the strengthening of “system-wide coordination and oversight,” the scaling up of the FCA’s AI Lab to enable it to support AI models and innovation for agentic finance, and an “AI-enabled agentic supervisory model” to be built and adopted. Finally, it recommended that a trusted “public-interest AI-enabled financial capability service” be developed.
The FCA announced, in the press release, that it will launch an AI “good and poor practice publication” in late 2026.
Finance
Fayette County Public Schools Board of Education approves audit contract, new finance director position
LEXINGTON, Ky. (WKYT) – The Fayette County Public Schools Board of Education approved a one-year audit contract capped at $131,750 plus $225 per hour during a virtual meeting Monday, along with a new finance director job description.
The contract is with Mauldin & Jenkins Certified Public Accountants, an Atlanta-based firm, and covers the 2025-26 fiscal year and the restatement of the 2024-25 fiscal year and ancillary services through FY 2029-2030. The work is set to be completed by Nov. 15.
The board approved the contract in a 5-0 vote.
Audit contract details
Interim Chief Financial Officer Kyna Koch said the cost is already accounted for in the district’s budget.
“And is actually less than we expected given our current situation — we were thrilled with the bid,” Koch said.
Koch said she believes this is Mauldin & Jenkins’ first school district audit in Kentucky, but that the firm works with school districts of more than 100,000 students throughout the Southeast.
“Quite frankly when I spoke to the folks at KDE they were thrilled because we’re running kind of short of auditors who want to do school district audits — so all around I think this was a win-win for everyone,” Koch said.
New finance director position
The board also approved a new job description for the position of Director of Finance. Acting Superintendent Dr. Bill Bradford said the title will replace two associate director positions.
“Which will not only save the school district money but it’s also going to streamline our work and align internal controls to make room for a more efficient unit,” Bradford said.
Koch said the position will be posted as soon as possible following the board’s approval.
Closed session
The board went into closed session for more than an hour to discuss pending investigations that could lead to employee discipline. When the board returned, it took no action and adjourned the meeting.
Copyright 2026 WKYT. All rights reserved.
-
Lifestyle35 minutes agoCan you say no to a friend’s wedding? : It’s Been a Minute
-
Technology43 minutes agoThe robotaxi law that could ban Tesla
-
World50 minutes agoUS urges donors to abandon UNRWA funding as UN defends agency’s mission
-
Politics53 minutes agoEXCLUSIVE: FBI adds alleged COVID fraudster accused of taking $5M from kids’ meal program to Most Wanted list
-
Health58 minutes agoOne walking habit could signal a healthier brain after 80, scientists say
-
Sports1 hour agoNew Jersey pro wrestling promotion bringing the fight to the beach
-
Technology1 hour agoAre airline miles still worth it?
-
Business1 hour agoWalmart’s EV chargers are coming to California with discounts for members