8 Questions
What does the jurisdictional top-up tax formula represent?
Additional tax imposed on multinational enterprises (MNEs)
What is the purpose of the GloBE income calculation?
To determine taxable income on a jurisdictional basis
How is the jurisdictional excess profit calculated?
By subtracting substance-based income exclusion from GloBE income
What does the jurisdictional effective tax rate (ETR) represent?
The overall tax rate faced by MNEs in different jurisdictions
What is the significance of the top-up tax% in the BEPS 2.0 framework?
Represents the difference between the minimum rate and ETR
When calculating GloBE income, what substance is excluded?
Income generated from intangible assets
What is the main objective of BEPS 2.0 implementation regarding MNE taxation?
To prevent profit shifting by MNEs
In the context of BEPS 2.0, what does 'fair distribution of taxing rights' refer to?
'Fair share' principle ensuring each country taxes its fair portion of MNE profits
Test your knowledge on using appropriate allocation keys to source revenue to market jurisdictions in the context of QDMTT. Explore how to identify market jurisdictions for each category of revenue in the absence of specific allocation keys.
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