As the year 2020 draws to a close, it`s time to take a look at some important statistics regarding the Mutual Agreement Procedure (MAP). The MAP is a crucial part of international tax law, allowing taxpayers to resolve disputes with tax authorities in different countries. Let`s dive into the numbers and see what they tell us about MAP in 2020.

Firstly, it`s important to note that MAP cases have been on the rise over the past few years. In 2018, the total number of MAP cases globally was 1,387. In 2019, that number increased to 1,562. And in 2020, despite the challenges posed by the pandemic, the number of MAP cases grew even further, reaching a total of 1,666.

This increase in cases might be attributed to several factors. One possibility is that taxpayers are becoming more aware of the MAP process and are using it as a means to resolve disputes. Additionally, tax authorities around the world have been cracking down on non-compliance and aggressive tax planning, which has led to an increase in the number of disputes.

Now, let`s take a look at the outcomes of these MAP cases. In 2020, a total of 818 cases were closed, resulting in 756 agreements. This means that in approximately 92% of cases, taxpayers and tax authorities were able to reach a mutually acceptable solution through the MAP process. This is a positive sign that the MAP is an effective means of resolving disputes and avoiding costly and time-consuming litigation.

Furthermore, the time it takes to resolve a MAP case has been decreasing in recent years. In 2018, the average time to resolve a case was 30 months. In 2019, it dropped to 28 months. And in 2020, the average time to resolve a case was further reduced to 26 months. This trend is encouraging and suggests that tax authorities around the world are becoming more efficient in resolving MAP cases.

In terms of regions, Europe accounted for the highest number of MAP cases in 2020, with a total of 1,106 cases. The Americas had the second-highest number of cases, with a total of 327. Asia-Pacific had the third-highest number of cases, with a total of 223.

In conclusion, the statistics regarding the Mutual Agreement Procedure in 2020 are largely positive. The increase in the number of cases demonstrates the importance of the MAP in resolving tax disputes. The high rate of agreement between taxpayers and tax authorities is a testament to the effectiveness of the MAP process. And the decrease in the time it takes to resolve a case suggests that tax authorities around the world are improving their efficiency in this area. Moving forward, it will be interesting to see how these trends develop and whether the MAP continues to play an important role in international tax law.