European Commission Proposes Minimum Tax Filing Simplification

The European Commission on Monday proposed simplifying reporting obligations for major companies impacted by the European Union’s tax information exchange rules.

The amendment to the EU’s Directive on Administrative Cooperation (DAC) is designed to streamline the process for multinational companies subject to the 15% global effective minimum tax, known as Pillar Two.

Under the proposed update, known as DAC9, companies that are in scope of Pillar Two would have to file information related to top-up taxes they might have to pay only once within the EU, for the whole group, rather than per EU country where they do business. ...