Taxpayers Get to Rate Tax Authority

YERUSHALAYIM -

In conversation with tax authorities, they are usually the ones telling you how you are doing, not the other way around. But this month, taxpayers are being asked to rate the Israel Tax Authority on how it’s doing.

Some taxpayers, that is.

Over 100 of Israel’s largest corporations with international operations and their top-level executives will be receiving a questionnaire from the OECD on the Tax Authority’s performance, Globes reported on Wednesday.

Respondents will have an opportunity to give a rating to such questions as: Is the Tax Authority clear enough in its guidelines in attempts to reach a settlement with a foreign country and to prevent companies from paying double tax? Does the Tax Authority reach mutual agreements for the benefit of the taxpayer? Is the result sent to the taxpayer and implemented by the country? And if not, why is the agreement not implemented?

The survey is part of the OECD’s BEPS (base erosion and profit shifting) guidelines. BEPS seeks to combat international tax planning.

The idea is not the Israel Tax Authority’s. Participation in the survey comes with Israel being a member of the OECD.

The companies are allowed to answer anonymously, thereby alleviating fear of retribution.