[ParlTrack]

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Recital 2

(2) In a continued effort to put an end to tax practices of MNEs which allow them to shift profits to jurisdictions where they are subject to no or very low taxation, the OECD has further developed a set of international tax rules to ensure that MNEs pay a fair share of tax wherever they operate. This major reform aims to put a floor on competition over corporate income tax rates through the establishment of a global minimum level of taxation. By removing a substantial part of the advantages of shifting profits to jurisdictions with no or very low taxation, the global minimum tax reform will level the playing field for businesses worldwide and allow jurisdictions to better protect their tax bases. However, a wide scope for tax competition between Member States will remain. The minimum tax should not be regarded as an optimal level of corporate taxation and Member States should not use this opportunity to lower their corporate taxation levels, either through the nominal rate as increasing allowances.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Recital 7

(7) While it is necessary to ensure that tax avoidance practices are discouraged, adverse impacts on smaller MNEs in the internal market should be avoided. For this purpose, this Directive should only apply to entities located in the Union that are members of MNE groups or large-scale domestic groups that meet the annual threshold of at least EUR 7540 000 000 of consolidated revenue. ~~This threshold would be consistent with the threshold of existing international tax rules such as the country-by-country reporting rules9 .~~ Entities within the scope of this Directive are referred to as constituent entities. Certain entities should be excluded from the scope based on their particular purpose and status. Excluded entities would be those that are not profit- driven and perform activities in the general interest and which are, for these reasons, not likely to be subject to tax in the Member State in which they are located. In order to protect those specific interests, it is necessary to exclude from the scope of the Directive governmental entities, international organisations, non-profit organisations and pension funds from the scope of this Directive. Investment funds and real estate investment vehicles should also be excluded from the scope when they are at the top of the ownership chain, since, for those so-called flow-through entities, the income earned is taxed at the level of the owners. _________________ 9 Council Directive (EU) 2016/881 of 25 May 2016 amending Directive 2011/16/EU as regards mandatory automatic exchange of information in the field of taxation, OJ L 146/8 (3 Jun. 2016) [DAC 4] and non-profit organisations.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Recital 12

(12) The ETR of an MNE group in each jurisdiction where it carries out activities or of a large-scale domestic group should be compared to the agreed minimum tax rate of 125 % in order to determine whether the MNE group or large-scale domestic group is liable to pay a top-up tax and consequently should apply the IIR or the UTPR. The minimum tax rate of 15 % agreed by the OECD/G20 Inclusive Framework on BEPS reflects a ~~balance~~ minimum standard amongst corporate tax rates worldwide. In cases where the ETR of an MNE group falls below the minimum tax rate in a given jurisdiction, the top-up tax should be allocated to the entities in the MNE group that are liable to pay the tax in accordance with the application of the IIR and the UTPR, in order to comply with the globally agreed minimum effective rate of 15 % or the minimum effective rate of 25% agreed at Union level. In cases where the ETR of a large- scale domestic group falls below the minimum tax rate, the UPE at the top of the large-scale domestic group should apply the IIR in respect of its low- taxed constituent entities, in order to ensure that such group is liable to pay tax at an effective minimum rate of 15 %.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Recital 12

(12) The ETR of an MNE group in each jurisdiction where it carries out activities or of a large-scale domestic group should be compared to the agreed minimum tax rate of 125 % in order to determine whether the MNE group or large-scale domestic group is liable to pay a top-up tax and consequently should apply the IIR or the UTPR. The minimum tax rate of 15 % agreed by the OECD/G20 Inclusive Framework on BEPS reflects a balance and a minimum standard amongst corporate tax rates worldwide. In cases where the ETR of an MNE group falls below the minimum tax rate in a given jurisdiction, the top-up tax should be allocated to the entities in the MNE group that are liable to pay the tax in accordance with the application of the IIR and the UTPR, in order to comply with the globally agreed minimum effective rate of 15 % or the minimum effective rate of 25% agreed at Union level. In cases where the ETR of a large- scale domestic group falls below the minimum tax rate, the UPE at the top of the large-scale domestic group should apply the IIR in respect of its low- taxed constituent entities, in order to ensure that such group is liable to pay tax at an effective minimum rate of 15 % as defined by the relevant jurisdiction.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Recital 13

(13) In order to allow Member States to benefit from the top-up tax revenues collected on their low-taxed constituent entities located in their territory, Member States should ~~be able to elect~~have the option to apply a domestic top-up tax system. Constituent entities of an MNE group that are located in a Member State which has elected to implement rules equivalent to the IIR and the UTPR in their own domestic tax system should pay the top-up tax to this Member State. While leaving Member States some flexibility in the technical implementation of the domestic top-up tax system, such system should ensure the minimum effective taxation of the qualifying income or loss of the constituent entities in the same, or in an equivalent manner, to the IIR and UTPR of this Directive. Stresses that the creation of the national top up tax ensures an automatic floor on the Total Tax paid by the companies covered by the current directive and simultaneously places a floor on competition over Corporate Taxation collected by the source country. However, it does not create a floor on tax competition for companies under the proposed threshold. Member States should work with the European institutions in order to establish a roadmap for the upward convergence on corporate taxation in the internal market. Furthermore, calls on the European Commission to monitor possible national measures that aim to compensate for the potential increase in corporate income tax, making sure that effective taxation level is not lowered.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Recital 14

(14) To ensure a proportionate approach, this exercise should take into consideration certain specific situations in which BEPS risks are reduced. Therefore, the Directive should include a substance carve-out based on the costs associated with employees and the value of tangible assets in a given jurisdiction. This would allow to address, to a certain extent, situations where an MNE group or a large-scale domestic group carries out economic activities which require material presence in a low-taxed jurisdiction as in such case BEPS practices would be unlikely to flourish. The specific case of MNE groups that are at the first stages of their international activity should also be considered in order not to discourage the development of cross-border activities for MNE groups that benefit from low taxation in their domestic jurisdiction where they are predominantly operating. Thus, the low- taxed domestic activities of such groups should be excluded from the application of the rules for a transitional period of five years, and provided that the MNE group does not have constituent entities in more than six other jurisdictions. In order to ensure equal treatment for large-scale domestic groups, the income from the activities of such groups should also be excluded for a transitional period of five years.deleted

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Recital 15

(15) Due to its highly volatile nature and the long economic cycle of this industry, the shipping sector is traditionally subject to alternative or supplementary taxation regimes in Member States. To avoid undermining that policy rationale and allow Member States to continue applying a specific tax treatment to the shipping sector in line with international practice and State aid rules, shipping income should be excluded from the system.deleted

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Recital 16

(16) In order to achieve a balance between the objectives of the global minimum tax reform and the administrative burden for tax administrations and taxpayers, this Directive should provide for a de minimis exclusion for MNE groups or large-scale domestic groups that have an average revenue of less than EUR 10 000 000 and an average qualifying income or loss of less than EUR 1 000 000 in a jurisdiction. Such MNE groups or large-scale domestic groups should not pay a top-up tax even if their ETR is below the minimum tax rate in that jurisdiction.deleted

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Recital 17

(17) The application of the rules of this Directive to MNE groups and large-scale domestic groups that fall within its scope for the first time could give rise to distortions resulting from the existence of tax attributes, including losses from prior fiscal years, or from timing differences, and require transitional rules to eliminate such distortions. A gradual decrease of the rates for the payroll and the tangible assets carve-outs over ten years should also apply to allow a smooth transition to the new tax system.deleted

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Recital 18

(18) For an efficient application of the system, it is crucial that procedures are coordinated at a group level. It will be necessary to operate a system ensuring the unobstructed flow of information within the MNE group and towards tax administrations where constituent entities are located. The primary responsibility of filing the information return should lie on the constituent entity itself. A waiver of such responsibility should however apply where the MNE group has designated another entity to file and share the information return. It could be either a local entity or an entity from another jurisdiction that has a competent authority agreement in place with the Member State of the constituent entity. In the first twelve- months after its entry into force, the Commission should review this Directive, via relevant delegated acts, in line with the agreement reached by the Inclusive Framework on filing requirements under the GloBE implementation framework. Considering the compliance adjustments that this system requires, groups that fall within the scope of this Directive for the first time should be granted a period of 18 months to comply with the information requirements.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Recital 21 a (new)

(21 a) The GloBE Model Rules are likely to be modified, in particular the rules relating to safe harbours that aim to simplify filing requirements for constituent entities, for which this Directive should ensure the adequate safeguard for control. Therefore, the power to adopt acts in accordance with Article 290 of the Treaty on the Functioning of the European Union should be delegated to the Commission to ensure this Directive remains aligned with the international commitments of Member States.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Recital 24 a (new)

(24 a) The Pillar 2, besides the national domestic laws introduced by the current directive, consists of the treaty-based rule Subject to Tax Rule (STTR), that allows source jurisdictions to impose limited source taxation on certain related party payments that are subject to tax below a minimum rate. The European Commission should recommend Member- States to change their bilateral tax agreements with low-income countries in order to dully include it.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 2 – paragraph 1

1. This Directive shall apply to constituent entities located in the Union that are members of an MNE group or a large-scale domestic group which has an annual revenue of EUR 7540 000 000 or more in its consolidated financial statements in at least two of the last four consecutive fiscal years. Each Member State may apply an income inclusion rule in accordance with this Directive also to MNE groups which have annual revenues above a nationally defined lower threshold if the ultimate parent entity is tax resident in this Member State. The same threshold shall then apply to large- scale domestic groups of this Member State.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 2 – paragraph 3 – point a

(a) a governmental entity, an international organisation, and a non-profit organisation~~, a pension fund, an investment entity that is an ultimate parent entity and a real estate investment vehicle~~ that is an ultimate parent entity; or

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 2 – paragraph 3 – point b

(b) an entity that is owned at a minimum of 95 % by one or more entities referred to in point (a), directly or through several such entities, except pension services entities, and that: (i) operates exclusively, or almost exclusively, to hold assets or invest funds for the benefit of the entity or entities referred to in point (a); or (ii) exclusively carries out activities ancillary to those performed by the entity or entities referred to in point (a); ordeleted

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 2 – paragraph 3 – point c

(c) an entity that is owned at a minimum of 85 % by one or more entities referred to in point (a), directly or through one or several such entities, provided that substantially all of its income is derived from dividends or equity gains or losses that are excluded from the computation of the qualifying income in accordance with point (b) of Article 15(2).deleted

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 3 – paragraph 1 – point 32 – point a

(a) a refundable tax credit designed in such a way that it is payable as a cash payment or a cash equivalent to a constituent entity within ~~four~~two years from the date when the constituent entity is entitled to receive the refundable tax credit under the laws of the jurisdiction granting the credit; or

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 3 – paragraph 1 a (new)

The Commission may adopt delegated acts in accordance with Article 52 in order to lay down definitions of more concepts, or to modify any of the above definitions other than the one for the ‘minimum tax rate’, especially in the light of future refinements of the GloBE Model Rules.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 4 a (new)

Article 4 a Anti-avoidance rules 1. For the purposes of calculating the top- up tax to be levied under the rules of this Directive, a Member State shall disregard an arrangement or a series of arrangements which, having been put in place for the essential purpose of obtaining a tax advantage that defeats the object or purpose of this Directive, are not genuine, having regard to all relevant facts and circumstances. An arrangement may comprise more than one step or part. 2. For the purposes of paragraph 1, an arrangement or a series of arrangements shall be regarded as non-genuine where they are not put in place for valid commercial reasons that reflect economic reality. 3. Arrangements or a series of arrangements that are disregarded in accordance with paragraph 1 shall be treated, for the purpose of calculating the tax base, by reference to their economic substance. 4. The Commission shall be empowered to adopt delegated acts in accordance with Article 52 in order to lay down more detailed rules against tax avoidance, especially in the light of future refinements of the GloBE Model Rules.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 13 – paragraph 8 a (new)

8 a. The Commission may, by means of implementing acts, further specify the meaning of the terms used in paragraphs 5 and 6. The implementing acts referred to in the first subparagraph shall be adopted in accordance with the examination procedure referred to in Article 53a (1).

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 13 – paragraph 8 b (new)

8 b. The Commission may adopt delegated acts in accordance with Article 52 in order to modify the formula of paragraph5, so as to accommodate for a corresponding change of the GloBE Model Rules.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 15 – paragraph 11 a (new)

11 a. The Commission may adopt delegated acts in accordance with Article 52 in order to modify any of the definitions of paragraph 1, or to amend any of the items for which adjustments are provided for under paragraphs 2, 3, 6, 7, 10 and 11, especially in the light of future refinements of the GloBE Model Rules.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 16

~~[...]~~deleted

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 19 – paragraph 3 a (new)

3 a. The Commission may, by means of implementing acts, further specify the meaning of the terms used in paragraph 1. The implementing acts referred to in the first subparagraph shall be adopted in accordance with the examination procedure referred to in Article 53a (1).

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 21 – paragraph 7 – introductory part

7. A deferred tax liability that is not paid or reversed within the ~~fiv~~three subsequent fiscal years shall be recaptured to the extent it was taken into account in the total deferred tax adjustment amount of a constituent entity.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 21 – paragraph 7 – subparagraph 1

The amount of the recaptured deferred tax liability determined for the fiscal year shall be treated as a reduction to the covered tax of the ~~fifth~~third preceding fiscal year and the effective tax rate and top-up tax of such fiscal year shall be recomputed in accordance with Article 28(1).

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 21 – paragraph 8 – point c

~~(c) research and development expenses;~~deleted

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 25 – paragraph 2 – subparagraph 2 – point a

(a) the qualifying income of the constituent entities is the sum of the qualifying income of all constituent entities located in the jurisdiction determined in accordance with Chapter III, taking into account, where applicable~~, the international shipping income exclusion in accordance with Article 16~~;

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 27

~~[...]~~deleted

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 29

~~1. By way of derogation from~~ Articles 25 to 28, at the election of the filing constituent entity, the top-up tax due for the constituent entities located in a jurisdiction shall be equal to zero for a fiscal year if, for such fiscal year: (a) the average qualifying revenue of the constituent entities located in that jurisdiction is less than EUR 10 000 000; and (b) the average qualifying income or loss of that jurisdiction is a loss or is less than EUR 1 000 000. The election shall be made annually in accordance with Article 43(2). 2. The average qualifying revenue or average qualifying income or loss referred to in paragraph 1 shall be the average of the qualifying revenue or qualifying income or loss of the constituent entities located in the jurisdiction for the fiscal year and the two preceding fiscal years. If there are no constituent entities with qualifying revenue or qualifying loss located in the jurisdiction in the first or second preceding fiscal years, such fiscal years shall be excluded from the calculation of the average qualifying revenue or qualifying income or loss of that jurisdiction. 3. The qualifying revenue of the constituent entities located in a jurisdiction for a fiscal year shall be the sum of the revenues of the constituent entities located in that jurisdiction, reduced or increased by any adjustment carried out in accordance with Chapter III. 4. The qualifying income or loss of a jurisdiction located in a jurisdiction for a fiscal year shall be the net qualifying income or loss of that jurisdiction as computed in accordance with Article 25(2). 5. The de minimis exclusion shall not be applicable to stateless entities and investment entities. The revenue and qualifying income of such entities shall be excluded from the computation of the de minimis exclusion.9 deleted De minimis exclusion

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 38 – paragraph 5

5. The outstanding balance, if any, of the deemed distribution tax recapture account at the end of the ~~fourth~~second fiscal year after such account was established, shall be treated as a reduction to the adjusted covered taxes in accordance with Article 28(1) for the fiscal year in which such account was established.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 42 – paragraph 7 a (new)

7 a. The Council, acting unanimously on a proposal from the Commission, shall adopt the measures necessary to implement the filing obligations under this Directive.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 44 – paragraph 2

2. A constituent entity that does not comply with the requirement to file a top- up tax information return pursuant to Article 42 for a tax year within the prescribed deadline or makes a false declaration shall be charged an administrative pecuniary penalty amounting to 510 % of its turnover in the relevant fiscal year. This penalty shall only apply after the constituent entity has not provided the top-up tax information return pursuant to Article 42, following any reminder issued, within a period of 6 months.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 46

Transitional relief for the substance- 1. For the purpose of Article 27(3), the value of 5 % shall be replaced with the values set out in the following table: [...] 2. For the purpose of applying Article 27(4), the value of 5 % shall be replaced the values set out in the following table: [...]Article 46 deleted based income exclusion

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 47

Exclusion from the IIR and UTPR of MNE groups in the initial phase of their 1. The top-up tax due by an ultimate parent entity located in a Member State in accordance with Article 5(2) shall be reduced to zero in the first five years of the initial phase of the international activity of the MNE group notwithstanding the requirements laid down in Chapter V. 2. Where the ultimate parent entity of an MNE group is located in a third country jurisdiction, the top-up tax due by a constituent entity located in a Member State in accordance with Article 13(2) shall be reduced to zero in the first five years of the initial phase of the international activity of that MNE group notwithstanding the requirements laid down in Chapter V. 3. An MNE group shall be considered to be in the initial phase of its international activity if: (a) it has constituent entities in no more than six jurisdictions; and (b) the sum of the net book value of the tangible assets of all the constituent entities of the MNE group other than the constituent entities located in the reference jurisdiction does not exceed EUR 50 000 000. For the purpose of point (b), reference jurisdiction means the jurisdiction in which the constituent entities of the MNE group have the highest sum of the net book value of tangible assets in the fiscal year in which the MNE group falls within the scope of this Directive for the first time. 4. The period of five fiscal years referred to in paragraphs 1 and 2 shall start from the beginning of the fiscal year in which the MNE group falls within the scope of this Directive for the first time. For MNE groups that are within the scope of this Directive when it enters into force, the five-year period referred to in paragraph 1 shall start on 1 January 2023. For MNE groups that are within the scope of this Directive when it enters into force, the five-year period referred to in paragraph 2 shall start on 1 January 2024. 5. The ultimate parent entity shall inform the tax administration of the Member State in which it is located of the start of the initial phase of itsArticle 47 deleted international activity.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 48

Transitional relief for filing obligations Notwithstanding Article 42(7), the top-up tax information return and the notifications referred to in Article 42 shall be filed with the tax administration of the Member States no later than 18 months after the last day of the fiscal year that is the transitional year.Article 48 deleted

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 50

1. The top-up tax due by an ultimate parent entity located in a Member State in accordance with Article 49 shall be reduced to zero in the first five fiscal years, starting from the first day of the fiscal year in which the large-scale domestic group falls within the scope of this Directive for the first time. 2. For large-scale domestic groups that are in scope of this Directive when it enters into force, the five-year period abovementioned shall start on 1 January 2023.Article 50 deleted Transitional rules

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 53 a (new)

Article 53 a Review The Commission shall, three years after the entry into force of this Directive, review its application and report to the Council on the operation of this Directive. The report shall address whether there is a need to amend this Directive in light of changes and developments in the international tax context, in particular regarding the implementation of the GloBE Model Rules outside the EU and the development of other, unilateral approaches towards minimum effective taxation of MNE groups. The Commission shall submit further such reports to the Council every three years. Where appropriate, the report shall be accompanied by a legislative proposal. In that report the Commission shall undertake a thorough analysis in particular of the effectiveness and efficiency of this Directive, including whether the scope of the Directive should be extended to cover MNE groups and large-scale domestic groups with a lower annual revenue threshold than the one laid down in Article 2(1) and whether the minimum tax rate of Article 3 item (12) should be increased.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 53 b (new)

Article 53 b Delimitation clause 1. This Directive shall not affect the application of domestic or agreement- based provisions on controlled foreign company rules within the meaning of Article 7 of Council Directive (EU) 2016/1164, including the right of Member States under Article 3 of said Directive to adopt provisions aimed at safeguarding a higher level of protection for domestic corporate tax bases, especially where stricter controlled foreign company rules follow the recommendations of the 2015 Final Report on Action 3 of the OECD/G20 Base Erosion and Profit Shifting Project. 2. This Directive shall not affect the application of domestic provisions on alternative forms of minimum taxation of domestic groups or companies.

2022/03/30
Committee: ECON

José GUSMÃO, Manon AUBRY, Martin SCHIRDEWAN

Proposal for a directive
Article 53 c (new)

Article 53 c Derogations After the entry into force of this Directive a Member State may derogate from the provision on the annual revenue threshold of Article 2(1) or on the minimum tax rate of Article 3 item (12) so as to apply a lower annual revenue threshold or to apply a higher minimum tax rate.

2022/03/30
Committee: ECON

40 Amendments of Manon AUBRY related to 2021/0433(CNS)

ParlTrack - 2011-2024