On 11 March 2025 the Council reached an agreement on the exchange of information for GloBE Information Returns (GIR) for companies affected by Pillar Two. This is designed to create a Union-wide basis for the automatic exchange of information on GloBE Information Returns. For companies with Pillar Two duties, this means that in future they will be able to file their GIR centrally in only one member state. DAC9 thereby provides a substantial simplifica-tion for multinational and large German groups of companies that fall under the German Mini-mum Tax Act (MinStG).
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GloBE Information Return (GIR) – obligations under the Minimum Tax Act (MinStG)

The EU Directive on Pillar Two, which came into force at the end of 2022, obliges large company groups with a consolidated revenue of at least 750 million euros to keep to an effective minimum taxation of 15%. In Germany this rule was transposed in the Minimum Tax Act (MinStG).

Under section 75(1) of the Minimum Tax Act, all business entities liable to tax are obliged to file a GloBE Information Return or GIR at the Federal Central Tax Office (Bundeszentralamt für Steuern), using an officially prescribed data record.

The GIR requires extensive disclosure of tax information on a group basis. The following information is required (section 76 MinStG):

  • a list of all business entities, broken down by tax jurisdiction, their tax numbers and classification under the legislation (section 76 no. 1 MinStG)
  • a summary of the group’s structure, particularly shareholdings in business entities held among each other (section 76 no. 2 MinStG)
  • information on the calculation of the effective tax rate and potential supplementary tax and tax increase amounts by tax jurisdiction (section 76 no. 3 MinStG)
  • a list of all options exercised (section 76 no. 4 MinStG)

The obligation to file a GIR means companies have increased requirements on data consistency, tax transparency and group-wide tax reporting.

DAC 9 – GIR filing in future only in one member state

The obligation to file a GIR falls away under section 75(2) MinStG (or Art. 44(3) of the EU Directive) if the ultimate parent entity or a commissioned business entity files the return in the state in which it is resident – provided there is an effective agreement under international law that ensures that GIRs are automatically exchanged between the tax authorities.

This is where DAC9 comes in – the amendment to the Directive is designed to allow the exchange of information by means of GIRs and thereby make practical use of the exemption. Companies will then only have to file one and not several GIRs per group and per year within the EU – which will be passed on to all the relevant authorities. 

For multinational groups with many German and foreign entities, this means a significant reduction in the compliance requirement burden and streamlining of the reporting processes.

Outlook – national implementation and international issues

The DAC9 Directive firstly has to be unanimously accepted by all 27 EU Member States. It then has to be transposed into national law by 31 December 2025. Only then will companies be able to use the GIR exemption in a legally watertight way, and as long as they have met the other conditions. 

The DAC9 Directive does not regulate the automatic exchange of information with third countries. Separate international treaties are required for this. Whether the burden on companies will be fully reduced in the first year of application crucially depends on the extent to which corresponding treaties can be concluded beyond the borders of the EU in time.

Groups of companies concerned should therefore check in good time to see which countries they are obliged to file a GIR in, where exceptions may be applied, and which processes need to be adapted in order to avoid compliance risks.

We’ll be glad to assist you.