The world's largest economies have agreed to pursue higher global taxation on tech giants. 

The Group of Seven large advanced economies want to create a minimum global corporate rate of at least 15 per cent, and new measures for companies to pay more tax in the markets where they sell goods and services.

The 15 per cent flat rate is designed to prevent companies from basing themselves wherever tax rates are lowest. 

They also want measures to collect money from companies that make profits from areas that they do not actually have any offices in, which is common for tech firms. 

The new G7 deal will also see an end to national digital services taxes levied by Britain and other European countries, which the United States says unfairly targets US technology giants.

All the measures will need broader agreement at a meeting of the G20 — which includes a number of emerging economies — due to take place next month in Venice.

“Australia welcomes the commitment from G7 nations to agree a globally consistent approach to the tax challenges posed by the digitalisation of the economy,” Treasurer Josh Frydenberg.