Implementation Of Multilateral Instrument (MLI) In Switzerland

As one of the BEPS project's antitax avoidance measures, the OECD has developed a so called multilateral instrument which has been signed by 87 jurisdictions so far. The purpose of the MLI is to efficiently allow the modification of a large number of existing bilateral tax treaties with anti-avoidance measures.

On 22 March 2019, the Swiss parliament approved ratification of the MLI, enabling the Swiss government to place the ratification bill with the OECD, provided there won't be an objecting popular vote.

1. What is the MLI?

The MLI transposes results from the OECD/G20 BEPS Project into bilateral tax treaties, offering countries concrete solutions to close the gaps in existing international tax rules. It also implements minimum standards to counter treaty abuse and to improve dispute resolution mechanisms.