We were delighted that the IF incorporated many of our comments from the previous consultation in this second Consultation Document. The Consultation Document  offers useful additional guidance in discussions between taxpayers and tax administrations regarding baseline marketing and distribution activities including the proposed pricing methodology of Amount B. See our article of 19 July 2023 for a summary of the Consultation Document.

In our comments and suggestions we strive for an application of Amount B that fits within the at arm's length principle and for it to be a genuine simplification for both taxpayers and tax authorities, reducing the administrative burden, uncertainty and disputes while trying to avoid artificial situations.

Our comments to the Consultation Document are divided into two parts. In the first part, we aim to provide general comments on Amount B rules, with a focus on enhancing tax certainty and emphasising what we consider to be “baseline” criteria. In the second part of our comments, we address the aspects where explicit input is requested from the IF.

The document submitted to the OECD was prepared by Daan Both, Jan Willem Kunen, Rijk van Tongeren, and Harmen van Dam.

To read the document in full, please click on the download button provided below.


Public Consultation

Document, 17 July 2023 – Amount B of Pillar One