Pillar One - Amount B: TEI Comments to the OECD
On September 1, 2023, Tax Executives Institute, Inc. ("TEI") submitted comments responding to the OECD's public consultation document regarding Pillar One - Amount B. TEI recommended the OECD make Amount B an elective safe-harbor for multinational enterprises, increase the scope of the definition of "distributor," and enhance the mechanisms for dispute prevention and resolution, among other things. TEI's comments were prepared under the aegis of its EMEA Direct Tax Committee, whose Chair is Sandra Esteves. Benjamin R.
Proposed Canadian GAAR Penalty - TEI Comments
On September 8, 2023, Tax Executives Institute, Inc. ("TEI") submitted comments to the Canadian Department of Finance regarding the Department's proposed tax penalty for transactions held subject to Canada's General Anti-Avoidance Rule ("GAAR"). TEI's comments focused on the need for the GAAR penalty to have a true due diligence defense to its imposition and include a significant fault requirement, both are which are necessary to avoid having taxpayers report all their transactions so as not to be subject to the penalty.
Canadian RUTT Form - TEI Comments
On June 7, 2023, TEI submitted comments to the Canada Revenue Agency ("CRA") regarding the draft Reportable Uncertain Tax Treatment ("RUTT") form. Taxpayer must use the RUTT form to report certain items depending on how those items are treated on a taxpayer's relevant financial statements. TEI's comments focused on recommendations to reduce the burden of preparing and filing the RUTT form with CRA, including limiting the information the form requires, filing the form by a single entity within a consolidated group, and clarifying which taxes the RUTT form encompasses.
Certain Aspects of OECD Pillar Two - TEI Comments
On August 14 2023, TEI submitted comments to the OECD regarding certain aspects of the OECD's Pillar Two initiative. TEI's comments were provided as a follow up to the Institute's June 6 meeting with representatives from the OECD. The Institute's comments focused on issues arising from disputed tax amounts, administration of the GloBE information return, as well as the various Pillar Two safe harbors. The Institute's comments were led by TEI's EMEA Direct Tax Committee. Benjamin R. Shreck, TEI Tax Counsel, coordinated the preparation of the Institute's comments.
Revisions to Canadian APA Program - TEI Comments
On July 21, 2023, the Institute filed comments with Canadian Department of Finance regarding Information Circular 94-4R2 "International Transfer Pricing: Advance Pricing Arrangements." TEI's comments included concern with the undue compliance burden the Circular proposes to impose on taxpayers, its unreasonable filing deadlines, and the additional requirements for renewing an advanced pricing agreement. TEI's comments were prepared under the aegis of its Canadian Income Tax Committee. Benjamin R. Shreck, TEI Tax Counsel, coordinated the preparation of the Institute's comments.
Australian Public CbC Reporting - TEI Comments
On July 21, 2023, TEI submitted a second set of comments to the Australian Senate Standing Committees on Economics regarding a proposal to require public disclosure of certain country-by-country ("CbC") report information. The Institute's comments included concern regarding the extraterritorial scope of the proposal, the inconsistency of the required disclosure with the CbC information reported under BEPS Action 13, and the lack of safeguards for commercially sensitive information. TEI's comments were prepared under the aegis of its EMEA Direct and Asia Tax Committees. Benjamin R.
TEI Submits Comments on the European Commission's Proposals for VAT in the Digital Age
On 3 April 2023, TEI submitted comments on the European Commission's Proposals for VAT in the Digital Age. TEI agreed with a number of proposals aimed at standardizing and simplifying reporting requirements, but identified significant opportunities to further harmonize the European VAT system, increase horizontal neutrality, and eliminate unnecessary administrative burden.
TEI comments on the FASB's proposal for enhanced income tax disclosures
On May 30, 2023, TEI submitted comments to the FASB regarding its proposal to require companies to disclose disaggregated income tax information in financial statements. TEI noted its significant concerns with the proposal but nevertheless offered detailed recommendations aimed at reducing confusion and making the information more useful to investors.
TEI Comments on Australian Intangible Payment Deduction Denial Proposal
On April 28, 2023, TEI submitted comments to the Australian Treasury regarding the Treasury's proposal to deny deductions for certain intangible payments to related entities. The Institute primarily focused on the inconsistency and prematurity of the proposal given the ongoing OECD negotiations regarding the global anti-base erosion model rules. TEI's comments were developed under the aegis of its European Direct and Asia Tax Committees. Benjamin R. Shreck, TEI tax counsel, coordinated the preparation of the Institute's comments.
TEI Comments on Australian Public CbC Reporting Proposal
On April 28, 2023, TEI submitted comments to the Australian Treasury regarding the Treasury's proposal to require certain companies to publicly disclose tax information on a country-by-country ("CbC") basis. TEI's comments focused on the differences between the Australian proposal and other initiatives to publicly report CbC data around the world, which could lead to confusion, among other things. TEI's comments were prepared under the aegis of its European Direct and Asia Tax Committees. Benjamin R. Shreck, TEI tax counsel, coordinated the development of TEI's comments.