The Council of the EU has adopted the amended Administrative Cooperation Directive to implement country by country reporting by multinationals and automatic exchange of the information in those reports between member states. This is the first element of the Commission’s January 2016 anti-tax avoidance package, implementing the OECD BEPS action 13 on country by country reporting in a legally binding EU instrument. It covers groups of companies with a total consolidated group revenue of at least €750m. The information to be reported includes revenues, profits, taxes paid, capital, earnings, tangible assets and the number of employees.
This information must be reported already for the 2016 fiscal year to the tax authorities of the member state where the group’s parent company is tax resident. Existing rules set deadlines of:
12 months after the end of the fiscal year for companies to file the information; and
a further three months for tax administrations to automatically exchange the information.
Member states will have 12 months from the date the amended directive enters into force to transpose the new rules into national law.
The Council of the EU has adopted the amended Administrative Cooperation Directive to implement country by country reporting by multinationals and automatic exchange of the information in those reports between member states. This is the first element of the Commission’s January 2016 anti-tax avoidance package, implementing the OECD BEPS action 13 on country by country reporting in a legally binding EU instrument. It covers groups of companies with a total consolidated group revenue of at least €750m. The information to be reported includes revenues, profits, taxes paid, capital, earnings, tangible assets and the number of employees.
This information must be reported already for the 2016 fiscal year to the tax authorities of the member state where the group’s parent company is tax resident. Existing rules set deadlines of:
12 months after the end of the fiscal year for companies to file the information; and
a further three months for tax administrations to automatically exchange the information.
Member states will have 12 months from the date the amended directive enters into force to transpose the new rules into national law.
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