The winding road to a 15% global minimum tax

The Ministry of Finance (MoF) indicated in its 2023 pre-budget statement released on June 3, 2022 that it is reviewing the technical details of the two pillars, including the introduction of the Qualified Domestic Minimum Top-up Tax (QDMTT) under Pillar Two.

THE Organisation for Economic Co-operation and Development’s (OECD Two-Pillar Base Erosion and Profit Shifting (BEPS) 2.0 Project has had more plot twists than a John Grisham novel, with refinements in rules, delays in implementation, countries disrupting the implementation rhythm and the star of the show leaving before the grand finale.

The World Bank has also jumped on the bandwagon, recently releasing a report on the policy considerations, implementation options and next steps for the global minimum tax (GMT) under Pillar Two.