Global minimum taxation? : an analysis of the global anti-base erosion initiative

Includes bibliographical references.

The Global Anti-Base Erosion (GloBE) proposal entails what may constitute the greatest shift in the international tax regime since its inception. GloBE is meant to focus on the “remaining BEPS issues and seeks to develop rules that would provide jurisdictions with a right to ‘tax back' where other jurisdictions have not exercised their primary taxing rights or the payment is otherwise subject to low levels of effective taxation”. First proposed in early 2019, this corollary to the BEPS Project – sometimes referred to as “BEPS 2.0” – has been in the international spotlight and pressed ahead with unprecedented speed. This book addresses the ongoing debate surrounding convergence towards global minimum taxation heralded by the proposed GloBE framework and connected rules in light of the specifications offered by the October 2020 Pillar Two Blueprint Report.

It covers not only the design and technical aspects of the Pillar Two package, addressing in depth each of the proposed rules (income inclusion, undertaxed payments, switchover and subject-to-tax), but also their interaction and certain overarching issues such as the determination of the minimum effective tax rate and the design of a global tax base. Furthermore, the book approaches the proposed rules dynamically, setting them against the backdrop of key legal and policy frameworks, such as: tax treaties, transfer pricing, EU law and US rules, such as GILTI and BEAT. Then, the book considers broader policy issues concerning the prospective implementation of the proposed rules, also by providing a specific focus on the challenges and opportunities for developing countries. By way of conclusion, the volume addresses the interaction between the debates on Pillar Two and Pillar One, including the potential for simplification of the proposed rules.

Global Minimum Taxation? An Analysis of the Global Anti-Base Erosion Initiative constitutes essential reading for practitioners, students and policymakers, trying as it does to bring together the two complementary needs of ensuring the most up-to-date and topical coverage of this momentous turning point in international taxation with the necessary depth of analysis and the “big picture” view that should always inspire any research pursuit. [Publisher's text]

Collected essays.