About BEPS and FAQs
Base Erosion and Profit Shifting
The OECD’s Base Erosion and Profit Shifting actions are well underway with proposals and consultations on all actions. Change is coming. These pages will help businesses navigate what is happening, key deadlines and issues they might want to consider.
The OECD began work on their BEPS project to address concerns that current principles of national and international taxation were failing to keep pace with the global nature of modern trading and business models, in particular, a perception that existing rules give businesses too much opportunity for arbitraging tax rates and regimes.
While views vary, one clear and consistent message is that the matters on the OECD Action Plan agenda are set to significantly shape the means by which governments collect tax and companies align their tax affairs and business models in the decade ahead. Given the OECD’s pace of work, change is inevitable and will be swift.
BEPS frequently asked questions
This brief but essential piece includes Deloitte BEPS professionals’ answers to several frequently asked questions related to BEPS, including:
- I haven’t looked at BEPS much, what is it?
- When will the actions from the OECD BEPS plan take effect?
- Why should I do anything now?
- We never do aggressive planning, surely BEPS can’t affect us?
- From what I’ve read, I’m not worried about BEPS and can’t see the benefit of considering it further?
- What are others doing about BEPS and about their structures?
- What can I do to evaluate the impact of BEPS on my organization?
- Where can I find more information about…?
- What do governments of other countries think about BEPS?
- How is the US expected to respond to BEPS?
- I’ve heard that the Action 4 proposals might mean that external interest deductions will be denied – is it true?
- Is there any point in making a “patent box” or other preferential intangibles regime claim now?
- How realistic is it to “track and trace” historic R&D expenditure?
- What will the permanent establishment actions mean for existing business and operational structure?
- How will BEPS affect our existing APAs?
- When will we need to do CbyC reporting?
- Our parent company is in a country outside of the OECD/G20 so I won’t need to do CbyC, will I?
Endorsed by the G20 Finance Ministers and Central Bank Governors, the OECD BEPS Action Plan will likely be delivered in a short 18 to 24 months timeframe.