OECD Touts Speedy Verification of Global Tax Treaty Compliance

Multinational companies seeking tax certainty under the OECD’s proposed rules for reallocating some profits to market jurisdictions can expect binding decision-making that’s faster than traditional tax audits, an official of the international organization said Thursday.

Sandra Knaepen, acting head, tax administration and VAT division of OECD, said a company seeking certainty under the proposed Multilateral Convention to implement Amount A of Pillar One can expect a decision within about 16 months if there are no disagreements and roughly 27 months where there are disagreements.

“If we compare these timelines with the current situation of having an audit that can ...