Global fund firms face tax hit to profitability

Multinational fund houses are bracing for a potential hit to net profitability as the world’s leading industrial nations look to implement a global framework to clamp down on tax avoidance. Ministers at the G20 meeting in Moscow last month agreed to a 15-point action plan set out by the Organisation for Economic Co-operation and Development (OECD) to close tax loopholes. The proposals are put forward in a document entitled Action Plan on Base Erosion and Profit Shifting (Beps), …