Deloitte’s head of tax policy comments on signing of multilateral convention to prevent BEPS
8 June 2017
Bill Dodwell, head of tax policy at Deloitte, said:
“Yesterday, in a packed OECD conference room in Paris, 67 countries and jurisdictions signed the Multilateral Convention. Another nine will sign shortly and the OECD secretariat hopes for 90 by the end of the year.
“When ratified under each country's domestic procedures, over 1100 double tax treaties will be changed, approximately one third of the global total. The effective dates will depend on each country, but 2019 is the most likely year. The changes will cut out treaty abuse - using treaties to save tax when not intended by the countries involved. Much more effective dispute resolution between countries will also be introduced, reducing double tax and enhancing business certainty.
“25 countries have elected to adopt mandatory binding arbitration as the ultimate resolution to tax disputes. This is very welcome and we hope to see more countries join in future years.
“This convention is an important milestone in global agreement on international corporate taxation. It sends a signal that countries are determined to work together on corporate taxation to minimise base erosion, whilst working to avoid economically damaging double taxation.”
Notes to editors
In this press release references to Deloitte are references to Deloitte LLP, which is among the country's leading professional services firms.
Deloitte LLP is the United Kingdom member firm of Deloitte Touche Tohmatsu Limited (“DTTL”), a UK private company limited by guarantee, whose member firms are legally separate and independent entities. Please see www.deloitte.co.uk/about for a detailed description of the legal structure of DTTL and its member firms.
The information contained in this press release is correct at the time of going to press.
Member of Deloitte Touche Tohmatsu Limited.