INCOME INCLUSION RULE (IIR - RÈGLE D'INCLUSION DES REVENUS OU RDIR)
| Draft EU Directive & likely above 12 in-scope MNEs (n1&2) | Other firm indications & estimates | Some indication but high uncertainty | Draft EU - likely < 12 in-scope MNEs | |
|---|---|---|---|---|
| 2024n3 | 2024 | 2024+ | 2025 - 2030 | |
| 15 | 10 | 6 | 12 | |
| Belgium (BE) | Austria (AT) | Australia (AU) | Canada (CA) | Bulgaria (BG) |
| France (FR) | Czech Republic | Hong Kong (HK) | Mauritius (MU) | Croatia (HR) |
| Germany (DE) | Denmark (DK) | Indonesia (ID) | Mexico (MX) | Cyprus |
| Italy (IT) | Greece (GR) | Japan (JP) | Singapore (SG) | Estonia (EE) |
| Netherlands (NL) (DL) | Finland (FI) | Korea (KO) (DL) | South Africa (ZA) | Hungary (HU) |
| Spain (ES) | Ireland (IE) | Malaysia (MY) | Thailand (TH) | Latvia (LV) |
| Portugal (PO) | Luxembourg (LX) | New Zealand (NZ) | Lithuania (LT) | |
| Sweden | Switzerland (CH) (DL) | Malta (MT) | ||
| the UAE (AE) | Romania (RO) | |||
| UK (DL) | Slovenia (SI) | |||
| Slovakia (SK) | ||||
| Poland (PL) | ||||
Note: DL = Draft Legislation
UNDER-TAXED PAYMENTS RULE (UTPR - RÈGLE RELATIVE AUX PAIEMENTS INSUFFISAMMENT IMPOSÉS AU RPII))
| Draft EU Directive & likely above 12 in-scope MNEs | Possibility for adoption in | Possibility for adoption in | Draft EU - likely < 12 in-scope MNEs |
|---|---|---|---|
| 2025 | 2024+ | 2025+ | 2025 - 2030 |
| 15 | 5 | 11 | 12 |
| BE, FR, DE, IT, NL, ES, AT, CZ, DK, GR, FI, IE, LX, PO, SE | AE, AU, CH, MY, NZ | CA, HK, ID, JP, KO, MU, MX, SG, ZA, TH, UK (2025 at earliest) | BG, HR, CY, EE, HU, LV, LT, MT, RO, SI, SK, PL |
QUALIFYING DOMESTIC MINIMUM TOP-UP TAX (QDMTT)
| Firm Indication | Position not established |
|---|---|
| 2024 | 2024+ |
| 4 | 39 |
| NL, UK, CH, MY | AU, AT, BE, BG, CA, HR, CY, CZ, DK, EE, FI, FR, DE, GR, HK, HU, ID, IE, IT, JP, KO, LV, MT, MU, MX, NZ, PL, RO, SG, SK, SL, ZA, ES, SE, TH, AE |
INDEX
1. On December 15, 2022, the Council of the EU reached unanimous agreement to implement the EU Minimum Tax Directive. The agreed text requires Member States to start applying the IIR for fiscal years beginning on or after December 31, 2023. The Directive will enter into force on the day after its publication in the Official Journal of the EU, which is expected shortly.
Euro Tax Flash from KPMG's EU Tax Centre - KPMG Global (home.kpmg)
2. The EU Minimum Tax Directive provides the option for Member States to implement a qualified domestic top-up tax (QDMTT) and to defer the application of the IIR and the UTPR up to December 31, 2029, where a maximum number of 12 UPEs are based in that EU Member State. It is expected that this group will have more than 12 in-scope MNEs and thus will implement the IIR and UTPR for 2024 and 2025 respectively. For some jurisdictions the level of in scope MNEs is uncertain and has been estimated.
3. References to 2024 and 2025 include starting dates that do not commence on 1 January, but take place throughout the year.
