转移定价

The G20/OECD Inclusive Framework on BEPS (“IF”) has, on 1 July 2021, approved the “Statement on a Two-Pillar Solution to Address the Tax Challenges Arising From the Digitalization of the Economy” (the “Statement” or so called “BEPS 2.0”). The Statement is approved by 133 countries and jurisdictions of the 139 countries and jurisdictions comprising the IF, including Hong Kong and China, as of 12 August 2021.

In October 2019, the OECD released proposals for a new unified approach to taxation of multinational enterprises in the digital environment, the so-called Pillar 1 of the BEPS 2.0 project. In November 2019, the OECD also released the Global Anti-base Erosion (GloBE) proposal, the so-called Pillar 2 of the BEPS 2.0 project. On 12 October 2020, the G20/OECD Inclusive Framework on BEPS (“Inclusive Framework”) released two detailed “blueprints” in relation to its ongoing work to address the tax challenges arising from the digitalization of the economy (“Pillar 1”) and in relation to the tax rules designed to ensure that large multinational businesses pay a minimum level of tax on all profits in all jurisdictions (“Pillar 2”).
The OECD’s aim is to bring the process to a conclusion by mid-2021.
This tax newsletter comments on the Pillar 1 initiation, and we would comment on the Pillar 2 in a separate tax newsletter.
For more information, please download our newsletter to read more.

Multinational enterprises (MNEs) which source their products manufactured in China or sell to the China market will be adversely affected by the coronavirus disease 2019 (COVID-19) and the recent China-US Trade Dispute during 2019. In addition to a declining global economy because of the above un-fortunate factors, these MNEs will face disruptions to their supply chains and challenges of moving personnel cross borders, which will likely lead to an erosion of profit margins.

Both the China and the Hong Kong governments have announced emergency measures to help the businesses in the two regions. Nevertheless, while the governments will provide stimulus to help the economy, they would need to boost tax revenues to finance these measures, not necessarily by increasing the tax rate, but by looking at the MNEs to raise tax revenues. MNEs, which may generally be perceived by the governments and the broader population as not paying their fair share of taxes, will likely be in the crosshairs of the tax authorities, including the China and the Hong Kong tax authorities, as an appealing revenue source to cover some of the recovery package costs.

经合组织于2013年7月19日发表了关于防止税基侵蚀和利润转移的行动计划。这份计划包含了15项关键行动及其实施时间。大部分行动方案会在两年内实施。该计划雄心勃勃，会剧烈地改变国际税收筹划的环境。一个潜在的主题是阻截故意分离应税收入与产生该收入的应税行为。未来的趋势将更多聚焦于商业实质和跨国集团中的那一家公司在集团的国际业务中创造真正的价值。