The OECD on Wednesday provided an update with a list of countries that have implemented minimum tax legislation that meets the secured transitional qualified status. The administrative guidance will be regularly updated to include additional minimum tax legislation as jurisdictions complete the fast-track process, according to the OECD.The minimum tax legislation refers to domestic laws that meet Global anti-Base Erosion (GloBE) rules, whose goal is to ensure multinationals pay a minimum 15% tax...

Multinational enterprises tend to move finance-related functions to jurisdictions with lower effective tax rates, while manufacturing and sales functions are less sensitive to higher tax rates, according to a new report. Affiliates of companies located in countries with ETRs below 15% were also more likely to conduct holding functions, or to provide internal group finance, the Organization for Economic Cooperation and Development found in a new report based on anonymized real responses of large...

French lawmakers approved Monday amendments to a so-called “soda tax” aimed at reducing the amount of added sugars in drinks as part of the debate on a portion of the French budget. The amended tax would be broken into three groups, rather than the 16 that currently exist in French law. Beverages with zero to five kilograms of added sugars per 100 liters would not face any new tax. But beverages with five to eight kilograms of added sugars would be taxed 21 euro cents (23 US cents) per liter, an...

Small businesses that don’t comply with tax laws are more difficult to track down than major corporations who don’t comply, Jim Harra, chief executive at the UK tax office, said Monday.His Majesty’s Revenue and Customs can broadly estimate tax non-compliance, but it is difficult to track exactly how and when small businesses don’t comply, Harra said at a Public Accounts Committee hearing on tax fraud in the retail sector.“We can estimate it. But of course, what the tax gap doesn’t do is tell us...

New rules requiring UK online marketplaces to share more data about sellers have led to a “significant increase in VAT compliance,” according to the chief of the country’s tax office.“What we’ve seen as a result of the introduction of these online marketplace rules is a significant reduction in the non-compliance and a significant increase in VAT compliance,” Jim Harra, chief executive at His Majesty’s Revenue and Customs, told a Parliament committee Wednesday. Still, he said that it’s “not perf...

France’s real estate rental landlords that provide student housing and corporate apartments shouldn’t be lumped in with casual rentals such as Airbnbs for tax purposes, industry leaders said.They called on French lawmakers to reconsider ending a capital gains provision as proposed in the government’s 2025 budget.Michel Barnier, the hand-picked prime minster of President Emmanuel Macron, released the draft budget late Oct. 10. It aims to reduce the national deficit through a series of tax hikes o...