Ratification of MLI: Oman One step closer to preventing BEPS

7th of July, 2020 marked the day an Instrument of Ratification to the MLI was submitted by Oman with the OECD.

Oman became the 92nd jurisdiction to sign the Multilateral Convention for implementing tax treaty-related measures to Prevent Base Erosion and Profit Shifting (BEPS) popularly known as the Multilateral Instrument (MLI) on the 26th of November 2019. It has agreed to four minimum standards which include the prevention of tax treaty abuse. As per terms, the Instrument comes into force on 1st of November 2020 i.e. on expiry of three months from the date of submission of the Instrument of Ratification.

Oman with this ratification implied its support towards OECD’s Inclusive Framework (IF) on BEPS. The convention formed for acting upon this framework primarily addresses problems relating to treaty abuse and aiding the process of Dispute resolution. The Instrument mainly tends to the updation of bilateral agreements and reducing opportunities for tax avoidance by Multi-national enterprises.

Source: http://www.oecd.org/countries/oman/oman-deposits-its-instrument-of-ratification-for-the-multilateral-beps-convention.htm

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