OECD Developing ‘Forum Shopping’ Deterrence Mechanism (1)

The OECD is working on a mechanism to prevent taxpayers from “forum shopping” to resolve double taxation disputes, an official said Tuesday.

The aim is to ensure that once a taxpayer chooses either litigation or an out-of-court resolution with tax authorities, they stick to that path, said Dominic Vines, team leader at His Majesty’s Revenue and Customs’ transfer pricing competent authority team.

Vines, who is also a vice chair for the OECD’s working party on transfer pricing issues, was speaking at an event organized by the International Fiscal Association in London.

Vines was referring to the use of ...