The OECD/G20 Base Erosion and Profit Shifting (BEPS) project is ambitious, large and complicated. Many countries are committed to it. The project continues to roll forward, although its complexity cannot be underestimated – it is in no small manner a quite herculean project.
It is widely acknowledged that both the public and governments around the world view the rise of international tax planning and strategies used by multinational enterprises (MNEs) as a major threat to their existing tax base and their sovereignty – hence the BEPS project. Tax systems around the world simply have not kept pace with the digital age and with the internationalisation of the business world.
Writing in the Thomson Reuters Weekly Tax Bulletin, Senior Tax Writer Terry Hayes suggests that moves by governments (such as the UK) to seemingly pre-empt the BEPS project could damage the project. And recent comments by senior Australian Treasury official Rob Herefen suggest that Australia could be considering doing “something sooner”, rather than waiting till the end of the G20, process about taxing multinationals.
Read the full article in Issue 8 of the 2015 Weekly Tax Bulletin.
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