Summary There might be a leak in the OECD’s global minimum tax proposals (GLOBE; Pillar Two). To address the remaining challenges of base erosion and profit shifting (BEPS) by large multinational enterprises the OECD envisages a global minimum level of company taxation and top-up taxation by countries up to that level where other countries do…
Sarah ALsultan (Kuwait University School of Law) Extended Summary International tax competition is a worldwide phenomenon that is intensified by globalization which is a process that eased the movement of highly mobile businesses. This competition can be construed as a game in which the players are countries that need and/or want to attract businesses. Traditionally,…
Claudio Cipollini (Heidelberg University, Germany) / February 24, 2021 The identification of new instruments to improve the efficiency of transfer pricing (TP) control is a priority on the international tax law agenda. The search for effective methods of control and feasible solutions for minimizing the associated costs assume a fundamental relevance for the sustainability of…
There’s something about OECD’s Pillar One. For some years now, the world has been under the spell of a new system of taxation of companies that make profits in countries without taking root there in any way. They often operate via internet platforms, which means that the profits that are generated elsewhere cannot be taxed…
Introduction Article 11 of the VAT Directive allows EU Member States (MS) to regard as a single taxable person a group of persons established in their territory who, while legally independent, ‘are closely bound to one another by financial, economic and organisational links’. The lack of further specification about how this provision should be interpreted…
On 1 July 2019, the Dutch tax ruling practice was revised to align it with EU and international standards and recommendations as well as to increase its openness and transparency. In this respect, the Dutch tax authorities (DTA) now publish anonymized summaries of advance pricing agreements and advance pricing agreement (APA) requests. This month, Intertax…
Articles 3 and 6 ATAD: a dangerous EU legislative mix In the forthcoming issue of Intertax, I make an in-depth analysis of the issues concerning the partial implementation of the EU GAAR, as enshrined in Article 6 ATAD, by Poland in 2019. One of the main hypotheses is that the combination of Articles 6 and…
The Champions League is back in town and tonight, its iconic hymn echoes through the speakers of Europe’s greatest clubs’ mostly empty stadiums: “Die Meister! Die Besten! Les grandes équipes! The champions!” To my personal delight, I’ve always found football more fun than I found it to be important. Like every year, my favourite and local FC…
Introduction India’s 2021 Finance Bill proposes to add a definition of “liable to tax” in its domestic direct tax law. As per the definition, the term ‘liable to tax’, “in relation to a person, means that there is a liability of tax on such person under any law for the time being in force in…
As the Blueprint on Pillar I illustrates, the political and technical complexities inherent to the solution sought by OECD are of such magnitude, that such a sole fact opens the window to an alternate, workable outcome to market states; and in this sense, a coordinated treaty response from market states patterned after a source-based withholding…
Introduction In today’s world, many things have become more intuitive – user interfaces of electronic devices, the way the merchandise is advertised, and how information is delivered. This contention seems to apply to communication in general: we have less time, energy, or resources to absorb information. Therefore, those who provide such information, do it in…
HMRC v Embiricos [2020] UKUT 370 (TC) reflects a common issue that arises in connection with tax investigations or audits of internationally mobile individuals. Mr Embiricos filed his tax returns on the basis that he was resident, but not domiciled in the UK. On that basis, he was entitled to the remittance basis of taxation….
In part 1 of this blog, we focused on the increased involvement of platforms in the levy of direct and indirect taxes. In this blog, we will highlight other digital economy tax trends, such as the shift of taxation rights on digital activities and fixed establishments. Shift of taxation rights between jurisdictions More user-and-consumer based…
The digitization and globalization of the economy have created a challenging environment to enforce tax rules and ensure tax compliance. Ever since the OECD’s release of the Action Plan on Base Erosion and Profit Shifting (BEPS)[1], the taxation of the digital economy has been under scrutiny from both a direct and indirect tax perspective. The…
