Treat multinationals as single firms to minimise tax evasion, says OECD

Experts involved in the review of taxation of international transactions have proposed that large multinationals be considered as single firms rather than separate ‘fictitious entities’ to reduce tax evasion.

Treating the corporate group of a global firm as a single company would make it possible to assess its economic activities in various jurisdictions, and ensure its tax base is attributed according to real activities in each country.