Microsoft's first public country-by-country reporting (CbCR) tax report, as mandated by an EU directive in 2021, offers striking insights into international taxation. It shows how the economic geography of a global tech company can differ sharply from of its markets.
The directive requires large MNCs to disclose where they report revenue, profits, employees and taxes. Unlike confidential CbCRs exchanged under OECD BEPS Action 13 framework, these disclosures are public. The numbers are striking.
