Harmful Tax Practices – 2023 Peer Review Reports on the Exchange of Information on Tax Rulings

433. Gabon can legally issue the following two types of rulings within the scope of the transparency framework: (i) preferential regimes;1 and (ii) cross-border unilateral APAs and any other cross-border unilateral tax rulings (such as an advance tax ruling) covering transfer pricing or the application of transfer pricing principles.

434. For Gabon, past rulings are any tax rulings within scope that are issued either (i) on or after 1 January 2016 but before 1 April 2018; and (ii) on or after 1 January 2014 but before 1 January 2016, provided they were still in effect as at 1 January 2016.

435. Gabon issued no past rulings within the scope of the transparency framework. As such, there was no need to identify potential exchange jurisdictions.

436. For Gabon, future rulings are any tax rulings within scope that are issued on or after 1 April 2018.

437. In the prior years’ peer review reports, it was indicated that there were not yet processes in place to ensure the implementation of the obligations relating to the transparency framework. Gabon intended to implement guidelines and practices to make sure the necessary information to meet the requirements of the transparency framework is required in all cases. Therefore, Gabon was recommended to finalise its information gathering process as soon as possible. During the year in review, as it is not known whether Gabon has finalised its information gathering process, the recommendation remains in place.

438. In the prior years’ peer review reports, it was determined that Gabon did not yet have a review and supervision mechanism under the transparency framework. Gabon was in the process of considering the implementation of a review and supervision mechanism to ensure the implementation of the transparency framework. As it is not known whether Gabon has put in place a review and supervision mechanism under the transparency framework for the year in review, the recommendation remains in place.

439. Gabon is recommended to finalise its information gathering process to identify all relevant future rulings and all potential exchange jurisdictions and to implement a review and supervision mechanism, as soon as possible (ToR I.A).

440. Gabon has the necessary domestic legal basis to exchange information spontaneously. The prior year report noted that there are no legal or practical impediments that prevent the spontaneous exchange of information on rulings as contemplated in the Action 5 minimum standard.

441. Gabon has international agreements permitting spontaneous exchange of information, including bilateral agreements in force with six jurisdictions.2 Gabon signed the Multilateral Convention on Mutual Administrative Assistance in Tax Matters: Amended by the 2010 Protocol (OECD/Council of Europe, 2011[2]) (“the Convention”) in July 2014 but Gabon has not yet ratified the Convention. Gabon is encouraged to continue its efforts to ratify the Convention and expand its international exchange of information instruments to be able to exchange information on rulings. However, it is noted that jurisdictions are assessed on their compliance with the transparency framework regarding the information exchange network in force for the year of the relevant annual assessment.

442. In the prior years’ peer review reports, it was determined that Gabon was developing a process to complete the templates on relevant rulings, to make them available to the Competent Authority for exchange of information, and to exchange them with relevant jurisdictions. It is not known whether Gabon has already put in place a process for exchanging information on decisions in accordance with the form and timelines required by the Transparency Framework. Therefore, this recommendation remains in force.

443. As it is not known whether exchanges took place in the year of review, no data on the timeliness of exchanges can be reported.

444. Gabon is recommended to develop a process to complete the templates on relevant rulings and to ensure that the exchanges of information on rulings occur in accordance with the form and timelines under the transparency framework (ToR II.B).

445. As the Secretariat is not aware whether information on rulings was exchanged by Gabon for the year in review, no statistics can be reported.

446. Gabon does not offer an intellectual property regime for which transparency requirements under the Action 5 Report (OECD, 2015[3]) were imposed.

[1] OECD (2021), BEPS Action 5 on Harmful Tax Practices - Terms of Reference and Methodology for the Conduct of the Peer Reviews of the Action 5 Transparency Framework, OECD Publishing, Paris, http://www.oecd.org/tax/beps/beps-action-5-harmful-tax-practices-peer-review-transparency-framework.pdf.

[3] OECD (2015), Countering Harmful Tax Practices More Effectively, Taking into Account Transparency and Substance, Action 5 - 2015 Final Report, OECD/G20 Base Erosion and Profit Shifting Project, OECD Publishing, Paris, https://doi.org/10.1787/9789264241190-en.

[2] OECD/Council of Europe (2011), The Multilateral Convention on Mutual Administrative Assistance in Tax Matters: Amended by the 2010 Protocol, OECD Publishing, Paris, https://doi.org/10.1787/9789264115606-en.