Global plan unveiled to better tax multinationals

The Organisation for Economic Cooperation and Development has proposed a plan to overhaul the way multinationals - particularly tech giants - are taxed to make sure they pay their fair share in countries where they do significant business.

The plan from the Paris-based OECD, which advises 134 countries on policies, comes after France and the United States agreed in August to find a way to better tax digital businesses by mid-2020.

The OECD proposal would re-allocate some taxes to countries where giant companies like Google, Facebook, Amazon and Apple "have significant consumer-facing activities and generate their profits." OECD Secretary-General Angel Gurra said: "We're making real progress to address the tax challenges arising from digitalization of the economy, and to continue advancing toward a consensus-based solution."

The OECD's framework will be presented to finance ministers of the G-20 in Washington next week.