| Myth |
Reality |
Recommendation |
Solution |
| “I don’t need Pillar Two software because there are safe harbours available.” |
While safe harbours can simplify compliance and reduce administrative burdens, they do not eliminate all duties/tasks. For example, you still need to lodge a GIR to fulfil your compliance. |
MNEs should consider how they plan to manage remaining compliance obligations, like lodging the GIR, even if safe harbours are available. |
CCH Integrator produces compliant GIRs with validations to meet lodgment obligations. It streamlines safe harbour testing, GloBE ETR calculations and jurisdictional management. |
| “HQ will handle it; I don’t need to worry about Pillar Two.” |
HQ may lead strategy, but local tax teams are usually responsible for local filing and notification duties. You’re still accountable for local compliance. |
Regional teams need to consider how to manage local filing and notification duties, especially if HQ delegates these responsibilities. |
CCH Integrator tracks local obligations and supports “one-in, all-in” filing via filing notifications. With role-based access, CCH Integrator ensures secure and coordinated submissions. |
| “Pillar Two is only relevant for companies paying top-up tax.” |
Pillar Two is a reporting framework. Even with zero top-up tax, you will still need to lodge returns and provide lodgment notifications. |
MNEs need to consider how to manage reporting and lodgment obligations regardless of whether top-up tax is owed. |
CCH Integrator provides comprehensive calculations and compliance features to cater for your specific requirements. |
| “Pillar Two is an OECD guideline — it’s optional.” |
OECD frameworks are adopted by member countries and integrated into their respective legal systems. Once implemented, Pillar Two is a requirement under local law, and non-compliance may result in penalties. For instance, this is now law in Australia. |
To avoid potential penalties and reputational damage, it’s important to know that BEPS Pillar Two is not optional, and MNEs need to be prepared for the first lodgment deadline(s). |
CCH Integrator includes updates to reflect changes in local legislation and reporting requirements. |
| “UPE jurisdiction isn’t enacting BEPS P2, so we don’t need to do anything.” |
Even if the UPE jurisdiction hasn’t implemented Pillar Two, other jurisdictions—including Australia— have. If your group operates globally, you must comply where rules apply. |
If your group operates in jurisdictions which have enacted Pillar Two (like Australia) – you will need to start preparing for local compliance obligations. |
CCH Integrator supports local implementation, currency conversion, and QDMTT/GIR tracking across entities to ensure readiness. |
| “Our local tax software will handle Pillar Two automatically.” |
Most legacy systems weren’t built for GloBE logic, XML schema reporting, or safe harbour testing. |
Test your current system for GloBE logic, XML schema reporting, and safe harbour testing across jurisdictions. |
CCH Integrator is purpose-built for Pillar Two.
It includes smart forms, error handling, validation and producing returns compliant with OECD and local standards.
|
| “We only need to prepare for Pillar Two in the year it applies.” |
Pillar Two often requires prior-year financial and tax data. Waiting risks data gaps and missed deadlines. |
Ensure you have the prior-year data needed for calculations and filings - if you wait until the year of application it may be too late to do this work in time. |
CCH Integrator enables early ERP mapping, gap analysis, and scenario testing.
It supports forecasting and historical data tracking for proactive compliance.
|
| “Safe harbour rules are the same in every jurisdiction.” |
OECD sets the framework, but local authorities may add their own criteria.
You might qualify in one country but not another.
|
Start tracking jurisdiction-specific safe harbour criteria, especially where local rules diverge from OECD guidance. |
CCH Integrator adapts to jurisdiction-specific definitions and thresholds.
It tracks QDMTT variations and safe harbour eligibility across entities.
|
| “Only the parent company needs to worry about Pillar Two.” |
Subsidiaries and branches may have independent filing or payment obligations by law. Local compliance steps still apply. |
Consider your approach for managing local filing or payment obligations for subsidiaries and branches that may be independently liable. |
CCH Integrator coordinates central and local compliance. It tracks obligations by role, entity, and jurisdiction with full audit visibility. |
| “Pillar Two won’t affect our finance team.” |
It impacts finance, tax, legal, and systems. ERP mapping, accounting policies, and intercompany processes may need updates. |
Consider how your organisation’s ERP mapping, accounting policies, and intercompany processes might need to change under Pillar Two. |
CCH Integrator is ERP-agnostic, supports IFRS/local GAAP, support nuanced security access and audit trails for cross-functional collaboration. |
| “We can use our statutory accounts without adjustments for GloBE.” |
Statutory accounts alone aren’t enough. |
Start planning how to handle GloBE-specific adjustments to profit, deferred tax, and inclusions/exclusions that differ from provisioning. |
CCH Integrator performs GloBE-specific calculations and reconciliations. It handles multiple currencies and accounting standards with built-in logic. |
| “The OECD will enforce Pillar Two.” |
Administration is managed by local tax authorities. OECD sets the rules, but penalties and audits are local. |
Be audit-ready in the event that you need to undergo a local audit. |
CCH Integrator tracks local filing progress, formats, and audit trail requirements. It supports revised filings and compliance documentation as needed. |
