Strategizing Multinational Tax Risks

https://taxpolicy.ird.govt.nz/publications/2022/2022-ip-oecd-pillar-two

New Zealand has published a consultation re: its potential adoption of OECD Pillar 2, for which comments are due by July 1, 2022. The cite above provides a link to the document.

Notwithstanding the sovereign nature of this consultation, this document provides a valuable context for the rules of Pillar 2, and understanding how each of the complex rules affect the government’s position.

New Zealand provided a non-binding endorsement of Pillar 2, although the decision to formally adopt OECD Pillar 1, 2, and/or a digital services tax is yet to be determined. However, New Zealand is likely to adopt the OECD rules if most of the other countries also join in this global effort.