In October 2019, the OECD Secretariat presented the "Unified Approach" for the taxing rights’ reallocation of MNEs’ profits.
One year later, the OECD released pillar one and pillar two blueprints that develop a framework to address the taxation of the digitalized economy, and introduce a global minimum tax regime to fight against base erosion and profit shifting.
This "Unified Approach" focuses on large and consumer-facing companies. A new nexus is proposed to ensure taxation of corporate profits in markets where a certain sales threshold is reached without being physical present. Thus, MNEs need to prepare for the changes in international tax rules.
During the webinar Mazars experts provided us with a clear understanding of the key risks for MNEs’ operational and business models, and analyzed the impact on transfer pricing.
• Impact of the harmonization of corporate tax rates on transfer pricing, Cormac Kelleher, Partner at Mazars Ireland
• Impact of Pillar 1 on transfer pricing, Ben Semper, director at Mazars UK
• Impact of Pillar 2 on transfer pricing, Erin Alexander, director at Mazars USA
Moderated by: Frédéric Barat, Partner at Mazars France