Thursday, 15 January 2015

UK to introduce legislation to implement country-by-country reporting

Following the UK's lead as the first country to commit publicly to adopting the country-by-country reporting (CBCR) template developed by the Organisation for Economic Co-operation and Development (OECD), the Government has now published the draft legislation to enable the introduction of CBCR in the UK.
The legislation, which will be included in the Finance Act 2015, confirms that UK parented multinational enterprises (MNEs) will be required to provide CBCR tax related data to HM Revenue & Customs (HMRC) as part of this requirement.
The draft legislation and its accompanying explanatory notes also indicates how the implementing regulation is to be introduced as well as the impact it is expected to have on business.
The draft legislation at this point does not specify a proposed date for implementation, but the expectation is that MNEs will be required to prepare the CBCR template for financial years beginning on or after 1 January 2016.
Source & more info: PwC