Pilíř 2 a „kompenzační“ pobídky

Pillar 2 and "compensatory" incentives

This time we bring you an interesting observation regarding the possible reaction of selected countries to the Pillar 2 rules.

There are reports in the press that some states are considering "compensation" of the impact of the Pillar 2 top-up tax for companies.

This seems to have been noticed by OECD officials and they seem to have decided to issue a warning against such action, suggesting that it would be contrary to the objectives of Pillar 2, with the result that the top-up tax so "compensated" would probably not be considered as actually paid, and thus, in accordance with the principles of regulation, such tax would probably have to be actually paid elsewhere (more details HERE).

It will certainly be interesting to see how the impact of the Pillar 2 rules on different forms of tax incentives is dealt with by individual countries.

We will bring you more interesting insights on this topic.

If you have any questions, please contact the author of this article or the EY tax team with whom you regularly work.

Author:

Karel Hronek