Can the OECD Reshape Cross-Border Work Taxation in a Digital Age?

"According to the 2025 KPMG Global Mobility Benchmarking Report, nearly 80% of organizations expect international remote working to either increase or at least stay the same over the next 12 to 18 months. But it's not just about where people work; it's about how they work. The survey reveals that 43% of mobility teams are already using artificial intelligence to streamline administrative processes, and a remarkable 62% are planning to invest in new technology in the coming year."

"Recognizing these trends, the OECD/G20 Inclusive Framework on Base Erosion and Profit Shifting (BEPS)-which aims to address the challenges posed by globalization and digitalization in the international tax system-took an important step in April 2025, when its members agreed to examine the global mobility of individuals. This initiative seeks to ensure that tax rules don't hinder the opportunities created by global mobility for businesses and employees, and to support broader growth and investment."

OECD/G20 Inclusive Framework on BEPS agreed in April 2025 to examine global mobility of individuals to align tax rules with evolving cross-border work. The work has produced an update to the OECD Model Tax Convention Commentary and a recently closed public consultation on individual mobility, which included stakeholder contributions such as KPMG. The 2025 KPMG Global Mobility Benchmarking Report finds nearly 80% of organizations expect international remote working to increase or remain steady. Mobility teams report 43% current AI use for administrative tasks and 62% plan near-term technology investments. AI helps deploy talent across borders, automate routine processes, and improve cost efficiency and compliance, enabling faster responses to market opportunities.

Read at Bloombergtax