Global initiative "Pillar 2": adaptation of tax and budgetary legislation and tax control to new international standards

Abstract

In the context of globalization and the increasing influence of multinational corporations (MNCs) on the global economy, serious challenges arise for national tax systems, particularly due to the possibilities of manipulating transfer pricing and tax evasion. Initiatives by the Organisation for Economic Co-operation and Development (OECD), notably the BEPS Action Plan and BEPS 2.0, have become key tools in the fight against tax evasion, especially through base erosion and the use of tax loopholes. The aim of this article is to examine the global concept of "Pillar 2" in the context of adapting tax and budget legislation and tax control to new international standards. The concept of "Pillar 2" proposes the establishment of a minimum corporate tax rate of 15% for large multinational corporations, with the goal of ensuring fairness and transparency in global taxation. The methodological foundation of the article is a comprehensive approach that includes the analysis of international documents and regulatory acts, specifically the BEPS Action Plan and BEPS 2.0, as well as an examination of the practices for adapting Ukraine's tax and budget legislation to international standards. Legal and comparative analysis methods have been used to study international experience and the application of these standards within the context of national tax systems. The definition of the term "tax control" is outlined. The evolution of the implementation of the BEPS Action Plan in Ukraine is detailed in the context of tax and budget legislation. The research results indicate the need for a comprehensive review of Ukraine's tax legislation and the improvement of tax control mechanisms for the effective implementation of the "Pillar 2" concept. The article's conclusions emphasize the importance of further adapting Ukraine's tax system to international standards, which will ensure fair conditions for doing business, promote the development of the investment climate, and strengthen the economic security of the country. The article also highlights the importance of developing international cooperation in tax policy and fostering global financial transparency.