The Organisation for Economic Cooperation and Development (OECD) today announced the release of a “toolkit” on the taxation of offshore indirect transfers.
The toolkit on the taxation of offshore indirect transfers provides guidance on the design and implementation issues when one country seeks to tax gains on the sale of interests in an entity owning assets located in that country by an entity that is a tax resident in another country.
According to the OECD, this is the third toolkit to provide guidance on areas of international taxation of particular concern to developing countries (and in particular, to natural resource-rich countries). The taxation of the indirect transfer of assets such as mineral rights and other assets generating location specific such as licensing rights for telecommunications is a topic of concern for many developing countries.
Read the OECD release
The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.