Fixed-ratio method: Difference between revisions
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imported>Doug Williamson (Punctuation.) |
imported>Doug Williamson (Amend to 'profits'.) |
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The fixed-ratio method is a proposed methodology to limit [[tax relief]] for interest and amounts economically equivalent to interest. | The fixed-ratio method is a proposed methodology to limit [[tax relief]] for interest and amounts economically equivalent to interest. | ||
It would limit the amounts eligible for relief to a percentage of a taxpayer's | It would limit the amounts eligible for relief to a percentage of a taxpayer's profits. | ||
Revision as of 20:23, 15 June 2015
Tax.
A proposal under the OECD's Base erosion and profit shifting (BEPS) initiative.
The fixed-ratio method is a proposed methodology to limit tax relief for interest and amounts economically equivalent to interest.
It would limit the amounts eligible for relief to a percentage of a taxpayer's profits.
An alternative proposed methodology is a worldwide interest cap.
