The Select Committee on Statutory Instruments believes the government has not enacted sufficient powers for the anti-avoidance provision in the recent Taxes (Base Erosion and Profit Shifting) (Country-by-Country Reporting) Regulations and has reported the instrument for the special attention of the House of Commons. The regulations came into force on 18 March 2016 to implement OECD guidelines by introducing a requirement for UK resident parents of large multinational groups to make an annual country-by-country report to HMRC.
The Committee asked the Treasury to identify the vires for the anti-avoidance provision (regulation 21). The potential effect of this, the Committee argues, ‘is that people who are satisfied that the terms of the regulations do not apply to them will be at constant risk of HMRC initially concluding that they have attempted to avoid the regulations and that the regulations therefore apply anyway’. See www.bit.ly/1VAPr5d.
The Select Committee on Statutory Instruments believes the government has not enacted sufficient powers for the anti-avoidance provision in the recent Taxes (Base Erosion and Profit Shifting) (Country-by-Country Reporting) Regulations and has reported the instrument for the special attention of the House of Commons. The regulations came into force on 18 March 2016 to implement OECD guidelines by introducing a requirement for UK resident parents of large multinational groups to make an annual country-by-country report to HMRC.
The Committee asked the Treasury to identify the vires for the anti-avoidance provision (regulation 21). The potential effect of this, the Committee argues, ‘is that people who are satisfied that the terms of the regulations do not apply to them will be at constant risk of HMRC initially concluding that they have attempted to avoid the regulations and that the regulations therefore apply anyway’. See www.bit.ly/1VAPr5d.
