The budget bill for 2017, presented in September 2016 to the Swedish parliament (Riksdagen), includes provisions for country-by-country (CbC) reporting.
The budget bill is based on an agreement between the government’s formal coalition (Social Democrats and Green parties) and the Left Party. The budget primarily focuses on social issues (welfare, jobs, accommodating refugees, gender equality, etc.). While the budget bill has few reforms in the corporate tax area, there are some changes in the energy sector. The government also has focused on intensifying efforts to counter tax evasion and tax avoidance—including CbC reporting rules.
In the budget, the government declared an intention to introduce CbC reporting requirements by major Swedish multinational entities. It is expected that the government would have a proposal for CbC legislation ready before year-end. The government also intends to introduce measures allowing for the automatic exchange of information on financial accounts in accordance with directives or existing international agreements.
As proposed, CbC reporting would be required of multinational entity groups having a consolidated turnover of at least 7 billion kronor per year. The first CbC report would be filed within 12 months of the end of the fiscal year, which means that the first deadline to submit the CbC report from a Swedish perspective would be 31 December 2017, reporting for the financial year starting 1 January 2016. Also, it is possible that certain Swedish multinational groups may be required to submit separate CbC reports if the countries where they have business operations do not have exchange agreements with Sweden or have not implemented CbC reporting measures.
Read a September 2016 report (Swedish) prepared by the KPMG member firm in Sweden: Budgetproposition 2017 – uppdatering CbC-rapportering
© 2017 KPMG International Cooperative (“KPMG International”), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. All rights reserved.
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.