The level and scope of taxation are critical factors for the
success of our economies. Raising revenue is a
core competence and responsibility of governments, but taxation
does have an immediate impact on the
efficiency of markets, growth and job creation. Business depends on
consistent rules for taxation on the national and international
level that encourage rather than discourage investment, trade and
innovation. It is in this context that BIAC is addressing the range
of issues raised by the OECD Action Plan on Base Erosion and Profit
The OECD BEPS Action Plan was endorsed by G20 Finance Ministers
on 19 July 2013 in Moscow. The Action Plan sets out 15 areas of work to be
undertaken across a range of tax issues, including the digital
economy, transfer pricing, coherence of corporate income taxation,
as well as transparency, certainty and predictability of taxation.
Fundamental change to the international tax architecture is ruled
out in the Action Plan, and the current balance between source and
residence countries should remain unaltered. The timeline for BEPS
is ambitious aiming for completion by December 2015, and will
integrate a number of related on-going OECD projects on fundamental
tax issues, among them the definition of permanent establishment,
and the transfer pricing of intangibles.
We welcome OECD’s commitment to engage broadly on the BEPS topic
with the G20 and beyond. The global business community that engages
at BIAC looks to the OECD as the leading authority for international
tax rules. We also believe that the BEPS project can only succeed
with input from business in the substantive work programme, to
ensure that the results support open and competitive markets, trade
and investment, and more sustainable growth and employment.
The BEPS Action Plan recognises the specific role of BIAC in the
process of consultations and we are committed to working with the
OECD and governments on BEPS in a balanced and substantive manner,
with a representative mandate from our members. BIAC will consult closely with its
members and other business organisations who will
also be engaging with governments at
the national level.
We will organise consultations on the BEPS Action Plan on 1
October 2013 in Paris together with the OECD and governments to
address the substance and future process of the BEPS Action
Plan. Further consultations will be scheduled as the BEPS work
programme is taken forward.
This website is designed to support informed business engagement
in the BEPS project with relevant information. We welcome your
questions and comments for making this resource valuable to the
international business community.