Myth: BEPS rules will result in global trade barriers.
FACT: New rules around tax treaties going forward could end up preventing certain cross-border transactions. Incorporating these changes within your corporate tax strategy is planning for the future to make sure your commercial activities aren’t affected.
Myth: How BEPS reporting requirements will lead to Data Leakage.
FACT: Protecting the confidentiality of taxpayer information – and in particular commercially sensitive information – is of paramount importance to the countries involved in the BEPS Project. All discussions relating to the implementation of the possible new disclosure obligations under consideration, including the potential filing and dissemination mechanisms, must take into account this fundamental aspect. To safeguard companies against BEPS-related countries have agreed upon and adopted the transfer pricing documentation and country-by-country reporting.
Myth: The Project of BEPS will fail because countries are unable to come to an agreement.
FACT: The final BEPS Reports are consensus documents, reflecting the agreement of all OECD and G20 governments. As soft law instruments, the expectation is that the conclusions of the reports will be implemented in consistent manners. They will also be monitored over time with the agreement that all interested countries participate on an equal footing.