Ukraine’s Acting Minister of Finance Oksana Markarova during her visit to Britain has signed a multilateral convention to implement tax treaty related measures to prevent base erosion and profit shifting (Multilateral Instrument or MLI), the Organization for Economic Co-operation and Development (OECD) said on its website. According to the report, Ukraine became the 83rd jurisdiction that joined the MLI convention.
“The implementation of the BEPS action plan will favor the harmonization of international rules with more than 70 countries and create a more transparent environment. By signing the MLI convention, we will be able to make the necessary changes to the existing international treaties on double taxation between Ukraine and other states,” Markarova said.
According to the ministry, now the MLI multilateral convention must be ratified by the parliament.
The ministry noted Ukraine had joined the enhanced cooperation program under the OECD initiative on January 1, 2017. The OECD member countries have developed an action plan to combat tax base erosion and profit shifting. The BEPS plan includes 15 steps in various areas of counteraction to aggressive tax planning.
