Reigniting Pillars 1 & 2: Prospects for Reform

About the event

Join us for the Centre for Taxation's Online Spring Conference

2–5.30pm UK time
3–6.30pm Europe
9am – 12.30pm, East Coast, USA  

The Organisation for Economic Co-operation and Development (OECD) hopes to press ahead this summer with its Pillar 1 and Pillar 2 proposals. The recent entry of the new Biden administration into the negotiations may provide the boost required to reach an agreement in the Inclusive Framework. But great uncertainty remains.

Pillar 1 aims to allocate some taxing rights to the market country. Other proposals have taken a similar approach – including digital service taxes, the UN’s Article 12B proposal and the RPAI proposal from the Oxford International Tax Group. With much negotiation ahead, what are the benefits of Pillar 1 over these other approaches? Would a modification in any of these directions help reach a negotiated agreement? And are the benefits of a coordinated agreement over an uncoordinated introduction of DSTs overstated?

The US approach seems to push the Pillar 2 proposals in a new direction. The October Blueprint included a substance-based carve-out which primarily directed the proposal towards combating profit shifting. But the US seems to target tax competition itself, by introducing some form of minimum tax for all profit, whether or not the location of the profit is justified by the presence of economic substance. Will other countries agree to this change of emphasis? What would it take to persuade - or force - them?

And more fundamentally, are we reaching the endgame of multilateral international tax reform? Or have the current negotiations let the genie out of the bottle, paving the way for even more fundamental reform in the future?

Confirmed speakers

  • Pascal Saint-Amans, Director, Centre for Tax Policy and Administration, OECD 
  • Achim Pross, Head of International Co-operation and Tax Administration Division, Centre for Tax Policy and Administration, OECD 
  • Sophie Chatel, Head of Tax Treaty Unit, Centre for Tax Policy and Administration, OECD 
  • Michael Lennard, Chief, International Tax Co-operation and Trade, Financing for Development Office, UN 
  • Victoria Perry, Deputy Director, Fiscal Affairs Department, IMF
  • Mike Williams, Director, Business and International Tax, HM Treasury UK
  • Mindy Herzfeld, Professor of Tax Law, University of Florida
  • Michael Devereux, Director, Oxford University Centre for Business Taxation
  • Richard Collier, Associate Fellow, Oxford University Centre for Business Taxation
  • John Vella, Assistant Director, Oxford University Centre for Business Taxation


United Kingdom