OECD Digitalization Project: Now Is the Time for Business to Engage

    View Author October 2020

    The OECD’s Inclusive Framework on BEPS announced on October 12, 2020 that it will pursue its work plan on the tax challenges of digitalization until at least the middle of 2021 and probably beyond. The work plan, which was reconfirmed by the G20 finance ministers on October 14, 2020, has two distinct parts or ‘‘pillars.’’ Pillar One calls for the creation of a new taxing right involving reallocation of part of a multinational’s profits to market countries, and expanded taxing powers for those countries at the expense of countries where production occurs. Pillar Two is a global minimum tax proposal for large multinationals.

    *This article was first published in Bloomberg Tax on October 20, 2020.