Developing Nations Planning BEPS Mutiny

by Lorys Charalambous, Tax-News.com, Cyprus

25 January 2017

China and the new Chair of the Group of 77 have called on the United Nations to create a new tax body to develop proposals that are more tailored to developing countries than those proposed under the OECD's base erosion and profit shifting project.

The OECD has been seeking to gain the support of developing nations for its base erosion and profit shifting project, including by introducing an Inclusive Framework for countries to engage in its work on a level playing field with G-20 nations. As the BEPS standards were developed at the behest of the G20 advanced economies, some developing countries have questioned whether they are in the best interests of developing nations.

Incoming G77 chair Ecuador said it aims to urge the UN into action on developing countries' behalf.

The Group of 77 is a coalition of 134 developing nations.

TAGS: tax | interest | China | Ecuador | tax authority | G20 | standards | BEPS