The OECD released outputs from seven of the 15 actions under its base erosion and profit shifting (BEPS) action plan.
The overall objective of the BEPS action plan is to seek to build international consensus on actions that could be taken to reform the international tax regimes of participating countries in order to better align the taxability of profits of multinational corporations (MNCs) with substance and economic activity. It also aims to limit some of the opportunities for tax planning that have resulted in non-taxation of profits anywhere.
The BEPS deliverables on 16 September 2014 reflect some further progress made in just over a year to build consensus on a common direction for future developments. In many cases, the output is largely a reiteration of previously stated principles and objectives. While general political endorsement is expected from the G20 at its upcoming meeting, there are many areas where further work is required and where building a consensus on implementing specific measures will be challenging.
KPMG in Ireland has produced articles that summarizes the recommended measures and considers what these proposals might mean for business in Ireland.
Read September 2014 reports (available on the left-hand side of page) prepared by the KPMG member firm in Ireland.
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