16.04.2026MOF issues draft amended regulation on minimum taxation rules
Draft includes list of jurisdictions with qualified domestic minimum top-up taxes
The German Ministry of Finance (MOF) on 8 April 2026 published a draft amended regulation on the application of the Pillar Two minimum taxation rules, which includes in an annex a list of jurisdictions with qualified domestic minimum top-up taxes (QDMTTs), income inclusion rules, undertaxed profits rules, and QDMTT safe harbors. The jurisdictions listed include inter alia Australia, Barbados, Brazil, Hong Kong SAR, Malaysia, Qatar, South Africa, and the United Arab Emirates.
Germany implemented the EU Pillar Two directive through domestic legislation in December 2023. The MOF issued the original regulation on the application of the minimum taxation rules at the end of 2025 (which was published in the federal gazette on 29 December 2025) in order to provide further guidance regarding the scope, design, and information exchange mechanism under the rules, as well as to follow OECD guidance in this regard.
Based on the rules, affected taxpayers must submit a global anti-base erosion (GloBE) information return (GIR). The list of jurisdictions and the explanatory statement in the draft amended regulation aim to ensure that affected taxpayers and the German tax authorities are aware of which jurisdictions have adopted the various rules and safe harbor. This should assist companies as they are preparing the GIR.
The draft amended regulation must be approved by the upper house of parliament but does not require the approval of the lower house of parliament. If approved by the upper house, the amended regulation would enter into force the day after its publication in the federal gazette and would apply to fiscal years starting after 30 December 2023.
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