CONTINUEThis site uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more.
  1. Front Page
  2. News By Topic
  3. HK, France To Share Multinationals' Country-by-Country Reports

HK, France To Share Multinationals' Country-by-Country Reports

by Mary Swire, Tax-News.com, Hong Kong

16 January 2018


Hong Kong has newly signed an agreement with France to automatically exchange country-by-country reports filed by multinationals.

The CbC report is one element of a new three-tiered standardized approach to transfer pricing documentation, as proposed in Action 13 of the OECD's base erosion and profit shifting (BEPS) project. CbC reporting requires multinational enterprises to provide aggregate information annually, in each jurisdiction where they do business, relating to the global allocation of income and taxes paid, together with other indicators of the location of economic activity within the MNE group. It also covers information about which entities do business in a particular jurisdiction and the business activities each entity engages in.

The Multilateral Convention on Mutual Administrative Assistance in Tax Matters, also developed by the OECD, will be the main platform for Hong Kong to exchange CbC Reports with other jurisdictions. It significantly simplifies the process of agreeing with other states to exchange the reports, allowing states to either opt in or out of such for every signatory, of which there are 68 currently. Hong Kong is working on enactment of the Inland Revenue (Amendment) (No. 5) Bill 2017 to properly join the convention.

For now, Hong Kong is entering into bilateral competent authority agreements, such as the one concluded with France.

So far, Hong Kong has made bilateral CbC arrangements with France, Ireland, South Africa and the UK, for early reporting under the framework, with first exchanges covering reports for the year 2016 onward. It is seeking more bilateral agreements with its double tax treaty partners, according to information published by the Government.

TAGS: tax | business | legislation | transfer pricing | France | Hong Kong | Tax | BEPS

To see today's news, click here.

 
















Tax-News Reviews

Cyprus Review

A review and forecast of Cyprus's international business, legal and investment climate.

Visit Cyprus Review »

Malta Review

A review and forecast of Malta's international business, legal and investment climate.

Visit Malta Review »

Jersey Review

A review and forecast of Jersey's international business, legal and investment climate.

Visit Jersey Review »

Budget Review

A review of the latest budget news and government financial statements from around the world.

Visit Budget Review »



Stay Updated

Please enter your email address to join the Tax-News.com mailing list. View previous newsletters.

By subscribing to our newsletter service, you agree to our Terms and Conditions and Privacy Policy.


To manage your mailing list preferences, please click here »