Estonia deposited its instrument of ratification for the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (MLI) on January 15, the OECD has announced.
The multilateral tax treaty is designed to help countires swiftly amend their existing bilateral tax treaties to adopt minimum standards and other measures agreed to by nations in 2015 as an outcome of the OCED/G20 base erosion profit shifting plan. Some of the BEPS measures can only be implemented by amending tax treaties, making the MLI a useful mechanism.
These new measures include preventing tax treaty abuse, improving tax dispute resolution, and countering hybrid mismatch arrangements and artificial avoidance of permanent establishment status.
The OECD noted that Estonia is the 61st jurisdiction to ratify, accept, or approve the MLI.
Be the first to comment