2020 IOTA Forum on Implementation of Measures to Counter Base Erosion Profit Shifting (BEPS)

Adrienn Juhász's picture
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IOTA’s Forum on Implementation of Measures to Counter Base Erosion and Profit Shifting (BEPS) was held digitally on 8th-10th December 2020. 144 participants from 30 countries came together to identify best practices in the way Tax Administrations implement key BEPS Actions. The Forum on BEPS also aims to create opportunities for its members to work collaboratively towards meeting the emerging challenges of implementing the BEPS measures.

The fourth IOTA Forum on Implementation of Measures to Counter Base Erosion and Profit Shifting (BEPS) was a three-day digital event, co-hosted by IOTA and the Swedish Tax Agency (STA). The Forum kicked off on 8th December 2020 with two welcome speeches. Firstly, Ms. Petra Jacobson, International Director of the STA discussed the importance of cooperation during times of change, such as the current period when our lives are very different from normal. She pointed out that working together is necessary to protect the tax base and determination is the key to finding the best ways to implement the BEPS Action Plan.

Following Ms. Jacobson’s speech, Mr. Frantisek Imrecze, Executive Secretary of IOTA gave his opening remarks. He welcomed the 144 participants who gathered from 30 countries to discuss their experiences and best practices and, whilst recognising the opportunities brought by digital events, he looked forward to being able to meet colleagues in person again.

Within the scope of the Mandate for 2020 – 2021 of the Forum on Implementation of Measures to Counter BEPS, this year’s meeting focused on the following  BEPS Actions that are priority areas for members:

  • Effective treatment of information on tax rulings subject to the automatic exchange between tax administrations (BEPS Action 5);
  • Consistent implementation into internal rules and procedures of ‘Country-by-Country Reporting’ provisions under BEPS Action 13;
  • Practical application of provisions under the Multilateral Instrument (Action 15);
  • Mandatory Disclosure (Action 12); and
  • Dispute prevention and resolution (Action 14)

The following two subgroups, established to supplement the Forum’s activities, also provided updates at the meeting of the Forum on the work they are doing in their respective areas:

  • Subgroup 1 on Effective Treatment of Tax Rulings subject to the Exchange between Tax Administrations

Subgroup 1 presented the outcomes of a recent IOTA survey on exchange of tax rulings.  Presentations considered a number of key issues including the quality of the tax ruling summaries, how tax rulings information is being used, and the process for, and barriers to, Follow UP requests.

  • Subgroup 3 on Country-by-Country (CbC) Reporting

The update by Subgroup 3 introduced their draft report on CbCR which shares country experiences and best practice on the processes for filing, data quality, how CbC exchanges work and risk assessment. 

The reports prepared by both subgroups will be published in 2021.

The event was delivered through a combination of plenary sessions and a group discussion sessions, all of which foster collaborative learning amongst participants.

The full recording of the event, presentations, poll questions and results and group discussion notes are available for IOTA Members under the event page.