News Share

The Tax Hub

Daily Tax Newsletter

OECD-Andorra-Australia-Austria-Barbados-Belgium-Canada-Curacao-Fiji-Finland-France-Germany-Greece-Hungary-Ireland-Italy-Japan-Liechtenstein-Luxembourg-Malta-Mauritius-Netherlands-New Zealand-Papua N Guinea-Portugal-Singapore-Slovenia-Spain-Sweden-Switzerland-United Kingdom

26 March 2021

Responsive image

OECD Publishes 30 Country Profiles Applying Arbitration Under the BEPS MLI

The OECD has announced the publication of 30 country profiles applying Arbitration under the BEPS MLI.

---

Tax treaties: OECD publishes 30 country profiles applying Arbitration under the multilateral BEPS Convention

25/03/2021 – The OECD, in its capacity as Depositary of the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (the MLI), has today published the Arbitration Profiles of 30 jurisdictions applying Part VI on Arbitration of the MLI and an opinion of the Conference of the Parties to the MLI.

Arbitration Profiles

Part VI of the MLI allows jurisdictions choosing to apply it to adopt mandatory binding arbitration for the resolution of tax treaty disputes. The Arbitration Profiles have been developed to provide taxpayers with additional information on the application of Part VI of the MLI for each jurisdiction choosing to apply that Part. The Arbitration Profiles also allow those jurisdictions to make publicly available clarifications on their position on the MLI Arbitration. Each of the Arbitration Profiles includes:

  • Links to the competent authority agreements (CAAs) concluded by each jurisdiction choosing to apply Part VI of the MLI to settle the mode of application of that Part (which the OECD, as the Depositary of the MLI, needs to maintain and make publicly available);
  • Lists of certain reservations made by those jurisdictions, governing the scope of cases eligible for arbitration; and
  • Further clarifications that those jurisdictions wish to make publicly available on their position on the MLI arbitration.

Opinion of the Conference of the Parties to the MLI

On 15 March 2021, the Conference of the Parties to the MLI approved an opinion that clarifies the interpretation and application of Article 35 of the MLI on the entry into effect of its provisions. In particular, the opinion clarifies a question that had arisen with respect to the entry into effect of the MLI for taxes withheld at source where the latest of the dates of entry into force of the MLI for a pair of Contracting Jurisdictions is on 1 January of a given calendar year. An early version of this opinion, which was initially prepared by the Secretariat in 2018, was published on the OECD website on 14 November 2018.

The MLI so far covers 95 jurisdictions and has been ratified by 64 jurisdictions. It is the first multilateral treaty of its kind, allowing jurisdictions to swiftly transpose results from the OECD/G20 BEPS Project into their existing tax treaties, transforming the way tax treaties are modified. Once ratified by all Signatories, the MLI will modify over 1700 tax treaties, giving effect to the tax-treaty related BEPS measures on hybrid mismatch arrangements, treaty abuse and permanent establishment. The MLI will also strengthen provisions to resolve treaty disputes, including through mandatory binding arbitration, which has been taken up by 30 Parties.

The text of the MLI, its Explanatory Statement and background information are available at: http://oe.cd/mli.

Powerful Tax Tools

NEW

FX Rates

Global FX Rates including Tax Year Average FX Rates and Spot Rates for all Reporting Currencies.

NEW

Corporate Tax Rates

Corporate tax rates, surtaxes, and effective tax rates for the current year, as well as historical rates and approved future rates.

NEW

Country Analysis

Detailed tax guidance for companies doing business in over 100 countries, including summaries and snapshots of key tax facts and issues.

NEW

Cross Border Tax Calculator

Calculate total tax costs and benefits of a cross border transaction including withholding tax, participation exemption and foreign tax credit rules.

NEW

Cross Border Tax Rates

Provides Domestic, treaty and EU cross border tax rates for over 5,000 country combinations for 9 different payment streams.

NEW

OECD BEPS Project

Complete overview of the OECD BEPS Project, including daily BEPS news, country adoption of BEPS measures, and an overview of the 15 BEPS Actions.

NEW

Tax Calendar

Customizable calendar tool that tracks corporate income tax, value added tax and transfer pricing obligations by country or entity.

NEW

Tax Forms

English translations of key tax forms for over 80 countries, including tax return forms, treaty benefit forms, withholding tax forms, and more.

NEW

Worldwide Tax Treaties

Repository including thousands of tax treaties (in English), OECD, UN and US Models, relevant EU Directives, Technical Explanations, and more.

NEW

Worldwide Tax Planner

Calculates the worldwide tax cost of what-if scenarios based on legal entity structure, taxable income, and cross border transactions.

NEW

Certified Rates Report

Customizable Certified Rates Report providing updated corporate and withholding tax rates at the end of each month for over 100 countries.

NEW

Withholding Tax Minimizer

Enables quick calculation of tax costs and benefits of cross border transactions considering all possible transaction combinations and optimal routes.

NEW

VAT Rates

Provides value added tax (VAT) rates, goods and services tax (GST) rates and other indirect tax rates for over 100 countries.

NEW

NOL Calculator

Country specific calculator to determine how net operating losses can be utilized in carryback and carryforward years.

NEW

Transfer Pricing Calculator

Calculates TP ratios under various TP methods and calculates the difference between target ratios and actual ratios.

NEW

Individual Income Tax Rates

Individual tax rates for over 100 countries.

Play of the Day

Worldwide Tax Treaties

Repository including thousands of tax treaties (in English), OECD, UN and US Models, relevant EU Directives, Technical Explanations, and more.

We’re here to help

We’re here to answer any questions you have about the Orbitax products and services.

Send us a message

Who’s behind Orbitax?

We’re committed to providing high value, low cost tax research and management solutions.

Learn More