Base Erosion and Profit Shifting (BEPS) refers to the erosion of national taxation bases and the artificial shifting of profits between jurisdictions resulting generally from the inability of industrial-age tax laws to respond to the digital economy, and specifically from the existence of unintended gaps and mismatches between different countries’ tax systems.
In early 2016, RSM commissioned Euromoney Institutional Investor to conduct an online survey to their subscriber base of global businesses. From 762 respondents, the data pool was reduced to 494 to allow the report and findings to be based only on the responses of those who reported familiarity with BEPS. This helped ensure the conclusions drawn here are from a survey pool educated on BEPS and its potential impact on their organisation. This was a global survey and the findings inlcuded topics such as:
- increased costs and uncertainty;
- impact on the middle market;
- increased compliance costs and global effective tax rates;
- strategic uncertainty and changes to corporate structure.