OECD Pillar Two and Global Minimum Tax Services

OECD Pillar Two & Global Minimum Tax Services

The international tax landscape is undergoing one of its most significant transformations in decades. Driven by the OECD's Base Erosion and Profit Shifting (BEPS) 2.0 initiative, Pillar Two introduces a global minimum effective tax rate of 15% for large multinational enterprise (MNE) groups, fundamentally changing how businesses assess, manage and report their tax positions across jurisdictions.

For businesses operating in the UAE, the introduction of the Domestic Minimum Top-Up Tax (DMTT) marks a significant development. The UAE's Pillar Two framework applies to financial years beginning on or after 1 January 2025 and is designed to ensure that in-scope multinational groups pay a minimum effective tax rate of 15% on their UAE operations.

At CLA Emirates, we help multinational groups navigate the complexities of Pillar Two, assess potential exposure, identify available reliefs and carve-outs, and develop practical compliance frameworks tailored to their operating model.

Our Pillar Two specialists assist multinational groups throughout the assessment, implementation and compliance lifecycle.

Why CLA Emirates?

CLA Emirates combines deep UAE tax expertise with the strength of the global CLA network to help businesses understand the impact of Pillar Two across their group, manage compliance requirements, and implement practical tax-efficient solutions.