Daily Tax Report ®

Developing Countries Fear Losing Out in OECD Tax Dispute System

Feb. 16, 2021, 9:46 AM

Developing countries worry that an OECD-led effort to revamp rules to resolve tax fights between authorities and companies will set standards too difficult for them to meet.

At issue is the way governments address treaty conflicts over the taxation of multinational corporations. Unresolved, such disputes can result in vexing uncertainty for the companies involved, as well as the risk of double taxation. Businesses, as well as larger, richer countries, support bolstering minimum standards with measures like mandatory binding arbitration and more policies to provide certainty before disputes arise.

But developing countries have raised a host of concerns about changes floated...

To read the full article log in. To learn more about a subscription click here.