KPMG report: Overview and initial observations on Pillar One – Amount B

Overview of the OECD report on Amount B and initial observations on how multinationals can respond

Overview of the OECD report on Amount B and initial observations

The OECD/G20 Inclusive Framework on Base Erosion and Profit Shifting on 19 February 2024 released a report and reader guide [PDF 301 KB] on Amount B—an optional simplified and streamlined approach to apply the arm’s length principle (ALP) to baseline marketing and distribution activities.

The guidance gives jurisdictions the option to apply the simplified and streamlined approach from January 2025, either as a taxpayer safe harbor or as a mandatory rule.

Read a February 2024 report [PDF 584 KB] (14 pages) prepared by KPMG LLP that provides an overview of the report on Amount B and some initial observations on how multinationals can respond.



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