Pillar Two Scope Overview

Pillar Two - Scope

The scoping rules in Article 1 of the OECD Model Rules determine which MNE groups are subject to the Pillar Two GloBE rules.

Summary of the Approach

The general procedure to determine if a group is in-scope will be:

• Identify if there is a Group
• Identify the Ultimate Parent Entity
• Identify if there is an MNE Group for the purposes of the Pillar Two GloBE Rules
• Look at the consolidated group revenue and see if the revenue threshold test is met.

image showing 'how to determine the scope of the Pillar Two GloBE rules'