An MNE Group is considered to have multiple UPEs if the following two conditions are met:
The UPEs of those groups are part of a Stapled Structure or a Dual-list Arrangement.
At least one Entity or PE of the Groups is located in a jurisdiction different from that of the other Entities in the Groups.
The following provisions apply to MNE groups with multiple UPEs:
The Entities and CE in each Group shall be treated as members of a single MNE Group for the purposes of the DMTT Law and these ERs.
An Entity, except for an excluded Entity, shall be considered a CE if transactions are consolidated on a line-by-line basis by the MNE Group with multiple UPEs, or if Controlling Interests are owned by Entities within that MNE group.
The CFS of the MNE Group with multiple UPEs shall be the CFS referred to in the definition of a Stapled Structure or Dual-List Arrangement in this Article, as applicable, prepared according to an Acceptable Financial Accounting Standard, which shall be considered the accounting standard of the UPE.
The UPEs of the separate groups forming the MNE Group with multiple UPEs shall be the UPEs of that MNE group.
For the purposes of applying the DMTT Law and these ERs to MNE groups with multiple UPEs, references to an UPE shall apply, as required, as if they were references to multiple UPE.
The UPEs are required to submit the Tax Return in accordance with the provisions of Chapter Twelve by designating a DCE to file a consolidated return on behalf of the Group. In this case, the return must include information related to each of the Groups forming the MNE Group with multiple UPEs.
A Stapled Structure is an arrangement entered into between two or more UPEs of separate groups, which is realized by all of the following: