Under pressure to raise money, governments around the world, particularly in North America and Europe, are investing more resources into their taxing authorities to increase audits and enforce violations more rigorously, collecting money on transfer payments they judge as not meeting the standard.
Big developments are afoot in the world of international tax. Ireland has announced that it will end the “Double Irish,” the tax loophole that’s allowed multinationals to organize their affairs in such a way that they pay very low effective tax rates — sometimes as low as 2 percent.
As of recently, Tax Authorities are making the case that job descriptions posted on LinkedIn by employees can be admitted as evidence that the corporation has triggered a permanent establishment in the region.