{"id":4855,"date":"2022-10-19T16:13:55","date_gmt":"2022-10-19T15:13:55","guid":{"rendered":"https:\/\/www.btsasociados.com\/?p=4855"},"modified":"2022-10-19T16:14:57","modified_gmt":"2022-10-19T15:14:57","slug":"by-2024-multinationals-will-have-to-detail-how-much-tax-they-will-pay-in-each-country","status":"publish","type":"post","link":"https:\/\/www.btsasociados.com\/en\/by-2024-multinationals-will-have-to-detail-how-much-tax-they-will-pay-in-each-country\/","title":{"rendered":"By 2024, multinationals will have to detail how much tax they will pay in each country"},"content":{"rendered":"\n<p>Congress has consolidated the year 2024 to start implementing the country-by-country tax transparency report that will oblige multinationals to detail the total pre-tax profit or loss and the amount declared to the tax authorities.<\/p>\n\n\n\n<p>Such reporting will be mandatory for fiscal years beginning after <strong>June 2024<\/strong>.<\/p>\n\n\n\n<h4><strong>Transposition of the &#8220;Country-by-Country Directive&#8221;<\/strong><\/h4>\n\n\n\n<p>The amendment serves to transpose the European directive on disclosure of information relating to <strong>corporate income tax<\/strong> by certain companies and branches, which must be transposed by June 2023.<\/p>\n\n\n\n<p>The report, which will contain separate information for each Member State in which the company operates, will have to detail:<\/p>\n\n\n\n<ul><li>Your income.<\/li><li>The amount of profits.<\/li><li>Losses before tax.<\/li><li>The amount of accrued tax calculated as current tax expense, recognised in profit.<\/li><li>Taxable losses.<\/li><li>The amount of tax paid.<\/li><li>The amount of reserves at the end of each financial year.<\/li><\/ul>\n\n\n\n<p>It must be published within six months of the end of the financial year and deposited with the <strong>Companies Register,<\/strong> together with the documents making up the annual accounts.<\/p>\n\n\n\n<p>In addition, companies must make it public on their <strong>website<\/strong> within six months and access to it must be free of charge for at least five consecutive years.<\/p>\n\n\n\n<h4><strong>Companies with a turnover of more than 750 million<\/strong><\/h4>\n\n\n\n<p>The proposal for transposition in Spain is to extend this obligation to all dominant companies of a group or which do not form part of a group when they are subject to Spanish law, provided that they exceed 750 million euros of <strong>revenue in each of the last two financial years<\/strong>.<\/p>\n\n\n\n<p>Spanish subsidiaries and branches of dominant companies that are not subject to the law of a Member State will also be obliged to report, <strong>with the report referring to the parent company or the company that has set up the branch<\/strong>, when they meet the aforementioned requirements.<\/p>\n\n\n\n<p>For these cases, the transposition proposal provides that, in the event that:<\/p>\n\n\n\n<ul><li>The information is not accessible.<\/li><li>The subsidiary requests all required information from the parent undertaking.<\/li><li>If it does not provide it, the branch publishes all available information.<\/li><li>A statement that the parent has not made the required information available.<\/li><\/ul>\n\n\n\n<p>This report shall not be mandatory for companies that are not part of a group or for parent companies when they are established or have permanent business activities in only one.<\/p>\n\n\n\n<h4><strong>Possible omissions of information<\/strong><\/h4>\n\n\n\n<p>The transposition proposal leaves the door open for multinationals to temporarily omit information:<\/p>\n\n\n\n<p><strong><em>Where disclosure would be seriously prejudicial to the commercial position of the undertakings to which it relates.<\/em><\/strong><\/p>\n\n\n\n<p>In any case, such omission must be <strong>clearly<\/strong> indicated and accompanied by a duly <strong>substantiated justification.<\/strong><\/p>\n\n\n\n<p>In any case, any omitted information must be published in a subsequent report within a maximum period of five years, and information relating to tax territories included in the revised EU list of non-cooperative countries and territories may not be omitted.<\/p>\n\n\n\n<p>If you have any doubts regarding this issue, please do not hesitate to contact us, by telephone to Carles Monfort Codina or by e-mail to <a href=\"mailto:cmc@btsasociados.com\" target=\"_blank\" rel=\"noreferrer noopener\">cmc@btsasociados.com<\/a>, we will be delighted to help you.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Congress has consolidated the year 2024 to start implementing the country-by-country tax transparency report that will oblige multinationals to detail the total pre-tax profit or&#8230;<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[17],"acf":[],"_links":{"self":[{"href":"https:\/\/www.btsasociados.com\/en\/wp-json\/wp\/v2\/posts\/4855"}],"collection":[{"href":"https:\/\/www.btsasociados.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.btsasociados.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.btsasociados.com\/en\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.btsasociados.com\/en\/wp-json\/wp\/v2\/comments?post=4855"}],"version-history":[{"count":0,"href":"https:\/\/www.btsasociados.com\/en\/wp-json\/wp\/v2\/posts\/4855\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.btsasociados.com\/en\/wp-json\/wp\/v2\/media?parent=4855"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.btsasociados.com\/en\/wp-json\/wp\/v2\/categories?post=4855"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}