The German Bundestag approved an act concerning the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (MLI) on 16 May, 2024, in order to facilitate Germany’s compliance with the MLI by preparing the necessary notification for its tax treaties, ensuring the prevention of tax base erosion and profit shifting (BEPS).
The act applies the MLI to Germany’s treaties with Croatia, Czech Republic, France, Greece, Hungary, Japan, Malta, Slovakia, and Spain.
Germany’s ratification instrument for the MLI also includes treaties with Austria, Italy, Luxembourg, Romania, and Turkey; but are not covered by the new act.
Treaties with Austria and Luxembourg have already been updated through bilateral protocols. Treaties with Italy and Turkey await their respective ratifications of the MLI, and Romania has excluded its treaty with Germany from its MLI ratification instrument.
