GloBE and EU Law: Assessing the Compatibility of the OECD’s Pillar II Initiative on a Minimum Effective Tax Rate with EU Law and Implementing It within the Internal Market
World Tax Journal, 2020 (Volume 12), No. 3
1 Pages Posted: 20 Aug 2020 Last revised: 28 Jul 2021
Date Written: July 30, 2020
This article examines the compatibility of the OECD’s proposed rules on GloBE (pillar II) with EU law, covering both primary law and secondary law. In addition, it discusses the amendments required by the implementation of this initiative within the internal market. In what concerns compatibility with primary law, this article suggests extending some of the measures to domestic scenarios (avoiding potential issues of discrimination or restriction). In what concerns secondary law, it suggests altering some of the provision of the directives. Furthermore, in the author’s view, the EU would benefit from aligning some of its tax directives to the outcomes of OECD’s GloBE.
Keywords: Taxation, Tax law, European taxation
JEL Classification: K33, K34, F13, E62, D78, E62, F02, F23, F42, H20, H22, H23, H25, H26, H87, O19, O23, O24
Suggested Citation: Suggested Citation