The OECD said its initiative to have minimum standards on the collection and exchange of country-by-country (CbC) reports on large multinational businesses has reached 116 jurisdictions and has shown major progress in the delivery of international tax transparency.
The OECD's second annual peer review report on the base erosion and profit shifting (BEPS) demonstrates key progress made in implementation of its CbC reporting minimum standards. With more than 2,200 bilateral relationships for CbC exchanges now in place, Pascal Saint-Amans, director of the OECD Centre for Tax Policy and Administration, said that the reviews "show that the BEPS measures are being implemented rapidly, consistently and globally."
According to the report, 62 recommendations made in the first phase of peer reviews have now been addressed, while more than 80 jurisdictions have already introduced legislation to impose a filing obligation on multinational enterprises.
Participating jurisdictions are required to collect and share detailed information on all large multinational enterprises doing business in their country, including information on reported revenue, pre-income tax profit, income tax paid, and the stated capital and assets held by a company.
The report assesses each countries' domestic legal and administrative framework for CbC reporting; the exchange of information framework adopted; and the degree to which they meet standards on confidentiality, consistency, and appropriate use of the reports.