OECD Tax Deal Sourcing Rule Compliance ‘Impossible,’ Group Says

Multinationals can’t comply with requirements to track their transactions under the global tax deal’s draft revenue sourcing rules, a business group warned Thursday.

“The largest MNEs in the world, the Covered Groups, would not be able to meet the requirements in the rules, overall, today or in the foreseeable future,” the United States Council for International Business said in a letter to the OECD.

Under Pillar One of the 2021 global tax agreement, the world’s largest multinationals would see a portion of their profits reallocated from the countries where they’re currently taxed to those where end-customers for their goods ...