27 March 2018
Herm Nieste from Baker Tilly Berk in the Netherlands confirms “Members of the European Parliament have voted with a significant majority to implement two EU Directives: the Common Corporate Tax Base (CCTB) and the Common Consolidated Corporate Tax Base (CCCTB). These Directives were introduced shortly after the two Anti-Tax Avoidance Directives (ATAD I and ATAD II). Introductions of all these major tax plans were received with a lot of scepticism however, ATAD I and ATAD II are here to stay and will be implemented in phases with a target completion year of 2021, immediately followed by CCTB and CCCTB.
From a political point of view, there is a lot of pressure on the European Commission to finalise these projects in an attempt to come to a fairer attribution of corporate income tax to the countries where the profit is made. While having material implications for companies where their business model is linked to the digitalisation of the economy.”
Baker Tilly Global Tax Solutions is ahead of the curve in relation to these Directives by already sharing the opportunities, consequences and challenges of these Directives to the international tax advisors within the Baker Tilly network. Reach out to Baker Tilly Global Tax Solutions should you wish to hear more about how multinational companies can be impacted by this new approach to taxation across the EU.