KPMG report: Comments on public consultation on new common corporate tax system in the EU (BEFIT)
KPMG member firms in the EU submitted a memo with comments on the BEFIT initiative.
KPMG member firms in the EU submitted a memo with comments on the BEFIT initiative.
The European Commission (EC) on 13 October 2022 issued a public consultation on proposed policy options for a new common corporate tax system in the EU referred to as the “Business in Europe: Framework for Income Taxation (BEFIT)” initiative. Read EuroTaxFlash
This initiative would provide common rules for determining the corporate tax base for EU-based entities that are part of a group with global consolidated revenues above a certain threshold. BEFIT would also include provisions for the allocation of profits to member states based on a pre-defined formula (formulary apportionment). Once allocated, profits would be subject to the corporate income tax rate of the respective member state.
In response to the EC request for comments, KPMG member firms in the EU submitted a memo with comments on the BEFIT initiative. Read EuroTaxFlash
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