Ukraine signs BEPS MLI to counter tax avoidance by multinationals

Ukraine today became the 83rd jurisdiction to sign a multilateral tax treaty designed to swiftly amend bilateral tax treaties to add new provisions countering tax avoidance by multinationals and easing the resolution of cross-border tax disputes involving multinationals.

Included in the agreement, called the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (BEPS MLI), are provisions designed to help countries stop tax treaty shopping and improve the mutual agreement program in tax treaties.

These standards were agreed to by OECD and G20 nations in 2015 in the base erosion profit shifting (BEPS) project.

The BEPS MLI now covers over 1,400 bilateral tax treaties, the OECD said.