Low impact from GloBE tax rules on oil industry

CGSI Research said tax legislation in most national jurisdictions imposes taxes on individual legal entities and does not permit aggregation across different legal entities.

PETALING JAYA: The Global Anti-Base Erosion (GloBE) tax rules that will take effect in Malaysia and Singapore by January next year will likely have a limited impact on oil and gas (O&G) companies in Malaysia, says CGS International (CGSI) Research.

This was based on the research house’s latest study on the impact of GloBE rules, initiated by the Organisation for Economic Cooperation and Development (OECD) with the Group of 20 (G20) countries, which imposed a global minimum tax (GMT) of 15% or more on the profits of multinational enterprises (MNEs).