Country-by-country reporting

Large multinationals with consolidated turnovers of more than €750 million, or the equivalent if they were required to consolidate, need to prepare a full country-by-country report (CBCR) for submission to HMRC each year. We can help.

The OECD established the international country-by-country reporting framework to increase the transparency of tax paid by large multinational groups. Many jurisdictions have incorporated these rules into their domestic legislation.

As an adviser with an international network of firms, we can reduce the burden on your business and provide tailored advice for each jurisdiction in which your group operates. The volume of information to be analysed and disclosed under these rules is vast. Our clear guidance lets you continue to concentrate on your business.

How we help

Notify

We can assist the group with the UK notification requirement, whether by advising on how to complete it or by preparing the notification and submitting it to HMRC on behalf of the group.
Prepare

We can obtain all the relevant information from the group to be included in the submission to HMRC or other jurisdictions’ tax authorities.
Review

If the group has prepared a full report, we can review it and advise on any further information required to comply with the rules.
Conversion

Once the accounting information has been analysed and collated, we can assist with the conversion to the xml format required by HMRC.
Submission

We can submit the country-by-country report to HMRC on behalf of the group.

Frequently asked questions about country-by-country reporting

Who is subject to country-by-country reporting?

Country-by-country reporting applies to groups with consolidated turnovers of more than €750 million, whether or not formal consolidated figures must be calculated in the parent entity’s jurisdiction.

What is country-by-country reporting?

Country-by-country reporting aims to increase tax transparency and allow tax authorities to identify risks related to profit shifting.

It aims to increase cooperation between tax authorities and requires groups to report global figures on an aggregated jurisdictional basis. This helps tax authorities to identify areas where the profits recorded and taxes paid are not aligned with a group’s economic presence. The reports are shared between tax authorities as part of an automatic exchange of information agreement to allow authorities to better identify and tackle profit-shifting issues.

Businesses must report information in a specific format, tagged accordingly.