This online manual on effective agreement procedures (MEMAP) is part of a larger project to improve the functioning of existing international tax procedures and develop additional dispute resolution mechanisms. For more information on the project, the proposed complementary dispute resolution mechanism and other proposed improvements under the Mutual Agreement Procedure (MAP), see www.oecd.org/ctp/memap dispute resolution. Jurisdiction of the BZSt for Mutual Agreement, Arbitration and APA Procedures The OECD publishes statistics on the procedures of OECD member countries under “POP statistics”. The memorandum contains detailed information on how reciprocal procedures and arbitration procedures are conducted in Germany. As a general rule, the application must be submitted within a time frame set by the DBA. If the applicable DBA does not set a time limit for applications, there is a time limit in the Memorandum on Mutual Agreement Procedures (subsection 2.2.3.). In addition, the European Arbitration Convention provides for a procedure of mutual agreement on issues relating to the distribution of profits between associated companies and stable establishments. If Member States are unable to reach agreement on the elimination of double taxation within two years, a specific arbitration procedure to eliminate double taxation is required. Some might argue that arbitration has the advantage of encouraging Member States to settle disputes before the two-year deadline expires, which would be a success rather than a failure of the convention. However, statistics also show that 202 cases had exceeded the two-year deadline, while it had been cancelled with the taxpayer`s consent. This indicates that taxpayers do not always view the arbitration available to them under the agreement as a desirable means of resolving double taxation. The BEPS 14 (Making Dispute Resolution Mechanisms More Effective) report requires legal systems to set a minimum standard to ensure that they resolve treaty disputes in a timely, efficient and effective manner. All members of the Integrated Framework for BEPS (IF) are committed to implementing the minimum standards of Action 14, which include a rapid and comprehensive report on the statistics of the Mutual Agreement Procedure (MAP), in accordance with an agreed report framework.
Pop 2019 statistics will be published as part of this new framework. They cover all members who joined the IF before 2020.