Moving from talk to action in the European region
The Organisation for Economic Cooperationand Development (OECD) delivered a groundbreaking starting point for truly global taxcoordination.
European governments have all committed to end BEPS and have eagerly implemented large partsof the OECD BEPS proposals in the past year — with the public release of the so-called ‘PanamaPapers’ adding further momentum.
And the European Commission recently grabbed the headlines with the State aid decision againstIreland for providing a favourable tax ruling to a US multinational company with an unprecedented EUR13 billion potential recovery.
At the same time, countries remain committed to enhancing their own tax competitiveness — forexample, by reducing corporate tax rates. This issue is expected to seize even more of the spotlightin the years to come as the United Kingdom negotiates its exit from the EU following the June 2016 referendum.
This report is the third in our series of ‘pulse checks’ on how actions on BEPS policy are progressingin Europe. In these pages, international tax leaders from KPMG’s member firms in Europe offerinsights on:
— the impact of the BEPS debate on tax policy in Europe and selected European countries
— recent and pending changes to tax codes ahead of or in step with the OECD recommendations
— the changing attitudes of tax authorities as international tax reforms take hold— how international companies are reacting to and managing these reforms.
Most importantly, we sought to answer whether BEPS activities will ultimately improve the taxationof cross-border transactions in Europe
— or if companies will continue to weather inconsistency anduncertainty for years to come.
Most importantly, we sought to answer whether BEPS activities will ultimately improve the taxationof cross-border transactions in Europe — or if companies will continue to weather inconsistency anduncertainty for years to come.