As noted in today’s OECD release [PDF 259 KB], the BEPS project is intended to address tax planning strategies that exploit gaps and mismatches in tax rules that, in turn, allow for profits to be artificially shifted to low or no-tax locations where there is little or no economic activity—with the result that little or no overall corporate tax is paid. BEPS is of major significance for developing countries due to their heavy reliance on corporate income tax, particularly from multinational enterprises (MNEs).
The OECD noted that over 80 developing countries and other non-OECD / non-G20 economies have been consulted at in-depth regional consultations and global sessions that were attended by more than 110 jurisdictions as well as representatives from civil society and the business community.
A related OECD release notes certain elements under the current strategy for developing countries:
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.