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How tax accounting teams can prepare for BEPS 2.0

In this episode of the Tax and Law in Focus podcast, the speakers discuss necessary steps to ensure compliance, preparedness and success in 2024 and beyond in the BEPS era.

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This episode of the EY Tax and Law in Focus podcast, hosted by Susannah Streeter, delves into the complexities of BEPS 2.0 and its implications for global taxation. Brian Foley, EY Global Tax Accounting and Risk Advisory Services Leader; Jason Yen, Tax Principal in the International Tax and Transaction Services Practice at Ernst & Young LLP; and Jay Wright, Partner, Tax Accounting and Risk Advisory Services Practice at Ernst & Young LLP discuss the monumental shift BEPS 2.0 represents in the global taxation landscape, particularly affecting multinationals with annual revenues exceeding €750 million. They explore the intricate technicalities of Pillar Two, emphasizing its role in establishing a global minimum tax rate of 15%.

The podcast highlights the challenges multinational enterprises (MNEs) face, including adapting their tax operations, data acquisition, and infrastructure in response to these changes. It underlines the importance of technology in smoothing this transition. The discussion also touches on the operational and compliance complexities, the role of accounting in navigating these changes, and the significance of keeping abreast with the evolving legislative landscape globally.

The guests provide insights into the strategic approaches companies must adopt, including re-evaluating corporate structures and transfer pricing decisions. They emphasize the necessity of proactive engagement with external auditors and the criticality of timely data analysis and documentation.

Key takeaways:

  • Global tax overhaul: BEPS 2.0 marks a transformative shift in international tax laws, establishing a new, unified tax framework that significantly impacts large MNEs.
  • Operational and compliance revamp: MNEs must undertake significant operational changes, focusing on tax operations, data management, and compliance processes while emphasizing robust process documentation and active coordination with auditors.
  • Navigating legislative flux: With the evolving landscape of BEPS 2.0, companies need to continuously adapt to diverse global legislative enactments and allocate resources efficiently to stay compliant and proactive.


Episode 16


0h 37m 1s