Eight members of the OECD’s forum on tax administration (FTA): Australia, Canada, Italy, Japan, the Netherlands, Spain, the UK and the US, have launched a pilot for a new International Compliance Assurance Programme (ICAP) that will use CbC reports and other information to facilitate co-operation between multinational groups and tax administrations.
By co-ordinating conversations between a multinational group and several tax administrations, the pilot aims to use transfer pricing information more effectively, reduce the use of resources and prevent cases from entering into mutual agreement proceedings. A multilateral assessment of specific international tax risks posed by each group in the pilot is expected to be completed within 12 months.
Eight members of the OECD’s forum on tax administration (FTA): Australia, Canada, Italy, Japan, the Netherlands, Spain, the UK and the US, have launched a pilot for a new International Compliance Assurance Programme (ICAP) that will use CbC reports and other information to facilitate co-operation between multinational groups and tax administrations.
By co-ordinating conversations between a multinational group and several tax administrations, the pilot aims to use transfer pricing information more effectively, reduce the use of resources and prevent cases from entering into mutual agreement proceedings. A multilateral assessment of specific international tax risks posed by each group in the pilot is expected to be completed within 12 months.
