Pillar II: OECD developments – new GloBE Information Return, new Administrative Guidance and details on the Legislative Review published

In September 2026, the OECD published a new Pillar II package “to strengthen consistency and certainty for multinational enterprises and jurisdictions”. In addition to a revised version of the GloBE Information Return (GIR) and Administrative Guidance on two special topics in connection with domestic Pillar II implementation, the OECD also published a framework for its review of domestic Pillar II legislation.

1. Updated GloBE Information Return

• The OECD published a new GIR form incorporating, in particular, the Side-by-Side Package from January 2026, including the permanent safe harbours (see our detailed newsletter here [https://www.pwc.at/de/insights/austrian-tax-news/pillar-II-oecd-publishes-new-safe-harbours-in-side-by-side-package.html]).
• The new form applies to financial years beginning on or after 31 December 2025. For financial years beginning before that date, the current form remains unchanged.
•  However, the new OECD document also contains supplementary explanations regarding already existing data points in the GloBE Information Return, which have to be taken into account immediately.

2. Administrative Guidance (September 2026)

• According to the new Administrative Guidance, so-called “explicitly conditional taxes” (also referred to as “discriminatory taxes”) do not constitute covered taxes for Pillar II purposes. Explicitly conditional taxes are taxes that are imposed only if a constituent entity would otherwise be subject to an Income Inclusion Rule or an Undertaxed Profits Rule in another jurisdiction. However, taxes that apply only to constituent entities of groups with consolidated revenue exceeding EUR 750 million do not qualify as explicitly conditional taxes.
• The second chapter addresses special issues concerning the use of a local accounting standard for purposes of the qualified domestic minimum top-up tax (QDMTT) where a company’s financial year for financial statement purposes differs from the financial year used for the consolidated financial statements. In particular, questions regarding the interaction with the QDMTT safe harbour were clarified. The rules adopted are fairly complex in detail and can have far-reaching implications for multinational groups.

3. Full Legislative Review

This OECD document deals with the procedure for OECD recognition of domestic implementing legislation (Full Legislative Review). Such recognition is a prerequisite for classifying a domestic Pillar II implementation as “qualified”, which is particularly relevant for claiming the QDMTT safe harbour.

At present, jurisdictions can largely self-certify their domestic implementing legislation by way of self-assessment. Recognition under this simplified procedure will remain valid until the new comprehensive review process has been completed, provided that the jurisdiction initiates the recognition procedure within a reasonable period.

Authors: Yasmin Zykan-Lawson, Matthias Mayer