On March 24, 2020, the OECD released the second peer review report, which assesses countries’ efforts to implement the Action 6 minimum standard agreed under the base erosion and profit shifting (BEPS) project.
The second peer review report on the implementation of the Action 6 minimum standard on treaty shopping reveals that a large majority of members of the OECD’s Inclusive Framework on BEPS are translating their commitment on treaty shopping into actions and are modifying their treaty network.
The report includes the aggregate results of the peer review and data on tax treaties concluded by each of the 129 jurisdictions that were members of the Inclusive Framework on BEPS on June 30, 2019. The report recognizes the substantial progress that jurisdictions have made towards the implementation of the minimum standard.
The results of the peer review show that the Multilateral Instrument (MLI) has been the tool used by the vast majority of jurisdictions that have begun to implement the minimum standard.