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GlossaryITXWhat is Pillar Two?
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What is Pillar Two?

Pillar Two is the BEPS measure introducing a 15% global minimum tax on large multinational groups through the GloBE rules.

Bare Law Reference: OECD GloBE Model Rules.

Detailed Explanation

How it works

It applies to MNE groups with consolidated revenue of EUR 750 million or more; where profits in a jurisdiction are taxed below 15%, a top-up tax is collected via the IIR, UTPR or a domestic minimum top-up tax.

Frequently asked questions

What is Pillar Two?

A 15% global minimum tax on large multinational groups under the GloBE rules.

Who is in scope?

MNE groups with annual consolidated revenue of at least EUR 750 million.

This content is for general guidance only and does not constitute professional advice. Tax law changes frequently — verify the current position and consult a qualified Chartered Accountant before acting. Last reviewed: June 2026.

Key Takeaways

  • Pillar Two: 15% global minimum tax.
  • Applies to EUR 750m+ MNE groups.
  • Top-up via IIR, UTPR or QDMTT.
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