The European Commission (EC) decided to refer Spain, Cyprus, Poland, and Portugal to the Court of Justice of the European Union for failing to notify measures for the transposition into national law of Council Directive (EU) 2022/2523 of 15 December 2022 on ensuring a global minimum level of taxation for multinational enterprise groups and large-scale domestic groups in the Union (Pillar 2 Directive). The announcement was made in a release on 3 October 2024.
All EU Member States were required to bring into force the laws necessary to comply with the Pillar Two Directive by 31 December 2023, and communicate the text of those measures to the Commission immediately. These measures are applicable in respect of the fiscal years beginning from 31 December 2023.
To date, almost all EU Member States have met these obligations, however, the national implementing measures still have not been notified by Spain, Cyprus, Poland, and Portugal.
The Commission sent reasoned opinions to Spain, Cyprus, Poland, and Portugal in May 2024.
The Commission acknowledges that significant efforts are being made by the authorities to finalise their Pillar Two national implementing legislation but, to date, these Member States have not notified the transposition measures and therefore it is taking a formal step to refer Spain, Cyprus, Poland, and Portugal to the Court of Justice of the European Union for lack of transposition of the relevant EU provisions.
