18/10/2021 - Under OECD/G20 Inclusive Framework on BEPS, 140 jurisdictions have committed to implement minimum standards to improve the taxation of multinational enterprises (MNEs) worldwide. Today, the OECD has released the latest outcomes of the implementation of BEPS Action 13 on the transparency of global operations of large MNEs and BEPS Action 14 on the resolution of tax related disputes between jurisdictions.
BEPS Action 13 Country-by-Country Reporting
The BEPS Action 13 minimum standard on Country-by-Country reporting (CbC) requires tax administrations to collect and share detailed information on all large MNEs doing business in their country. Information collected includes the amount of revenue reported, profit before income tax, and income tax paid and accrued, as well as the stated capital, accumulated earnings, number of employees and tangible assets, broken down by jurisdiction.
The fourth annual peer review of BEPS Action 13 considers implementation of the CbC reporting minimum standard by jurisdictions as of April 2020 and covers 132 Inclusive Framework members. Highlights include:
The BEPS Action 13 peer review is an annual process and the next peer review report will be released in the third quarter of 2022.
BEPS Action 14 Mutual Agreement Procedure
The Stage 2 peer review monitoring reports of BEPS Action 14 evaluate the progress made by Brazil, Bulgaria, China, Hong Kong (China), Indonesia, Russia and Saudi Arabia in implementing recommendations resulting from their Stage 1 peer review. They take into account any developments in the period 1 January 2019 – 31 July 2020 and build on the Mutual Agreement Procedure (MAP) statistics for 2016-2019. Highlights include:
BEPS Action 14 Stage 2 peer review reports will continue to be published in batches in accordance with the Action 14 peer review assessment schedule. In total, 82 Stage 1 peer review reports and 52 Stage 1 and Stage 2 peer monitoring reports have now been finalised and published, with the eighth batch of Stage 2 reports to be released in a few months.
Media queries should be directed to Pascal Saint-Amans, Director of the OECD Centre for Tax Policy and Administration (+33 1 45 24 91 08), or Achim Pross, Head of the International Co-operation and Tax Administration Division (+33 1 45 24 98 92).