BEPS Pillar 2 Workshop Quiz

What is the minimum effective tax rate under the GloBE Rules (Pillar Two)?

• 10%

• 12.5%

• 15%

• 20%

Which multinational enterprises are in-scope for GloBE Rules under Pillar Two?

• Any MNE with operations in more than one country

• MNEs with annual consolidated revenue of at least EUR 750 million in 2 of the last 4 years

• MNEs listed on any stock exchange

• All MNEs regardless of size

How is the GloBE Effective Tax Rate (ETR) calculated for Pillar 2 purposes?

• Corporate Income Tax / Profit Before Tax

• Adjusted Covered Taxes / Operating Profit

• Corporate Income Tax / GloBE income

• Adjusted Covered Taxes / GloBE Income

Which one of the following is not a top-up tax mechanism for Pillar 2 purposes?

• QDMTT

• ETR

• UTPR

• IIR

Which of the following is not an objective of Pillar Two?

• Contribution by MNCs towards nation building

• Global minimum tax of 15%

• Discourage profit shifting to low-tax jurisdictions

• Create a fairer international tax landscape

Which one of the following scenarios is most likely to fail the Transitional Safe Harbour test?

• Jurisdiction's Simplified ETR is 17.00%

• Jurisdiction's Total Revenue is EUR 9.5 million and PBT is EUR 1.75 million

• Jurisdiction's PBT is 4.5% of its Payroll Costs and Tangible Fixed Assets

• All scenarios will qualify for Transitional Safe Harbour

Group X is subject to Pillar 2. Jurisdiction Y of Group X has an Accounting ETR of 0.5%. Based on the above information alone, which of the following is true?

• Jurisdiction Y must have top-up tax

• Jurisdiction Y can conclude it has top-up tax of 14.5%

• Jurisdiction Y may have no top-up tax

• Jurisdiction Y can conclude that it has no top-up tax

Which of the following can be determined using a Group's Country-by-Country Report ('CbCR') for purposes of Pillar 2?
(I) Top-up Tax

(II) Safe Harbour Qualification

(III) Accounting ETR

(IV) GloBE ETR

• I, II

• II, III

• I, II, III

• II, III, IV

Jurisdiction X accrued $100 of expenses for FY 2025, all of which were in relation to Uncertain Tax Positions (UTP). By the end of FY 2025, $60 of the UTP had been paid by Jurisdiction X. The balance of $40 was subsequently paid in FY 2026.

Of the $100 accrued in Jurisdiction X’s P&L, what amount should be recognized as Pillar 2 Adjusted Covered Tax for FY 2025?

• $0

• $40

• $60

• $100

You are presented with the following information for Jurisdiction X, which is subject to Pillar 2 for the year.

What is the actual amount of top up tax payable for Jurisdiction X?

• $15

• $10

• $5

• None of the above.