The Multilateral Instrument ("MLI") is one of the key outcomes of the OECD's Base Erosion and Profit Shifting ("BEPS") project, which aims to prevent perceived international tax avoidance and improve coordination between tax authorities. The purpose of the MLI is to implement wide-ranging double tax treaty (DTT) changes without requiring each individual treaty to be renegotiated. As a member of the OECD Inclusive Framework on BEPS, the Netherlands signed the MLI in June 2017. The ratification of the MLI, including the Dutch list of reservations and notifications, is currently pending in Parliament.
Our two-pager gives you an overview of the key BEPS Actions that the MLI aims to implement, how it will work, who it will affect and what the next steps should be. A case study is included.