MNE Profits

Advance pricing agreement, Anti-tax avoidance, BEPS, Corporate income tax, DEMPE, Intangibles, International Tax Law, IP, MAPs and APAs, MNE Profits, OECD, Tax Avoidance, Transfer Pricing, United Kingdom

(Temple Tax Chambers; King’s College London)/ /Leave a comment

Back in 2015, my first ever blog asked Does the UK Diverted Profits Tax help or hurt BEPS? Whatever the answer, the level of complexity and the challenges it brought to UK cross-border taxation cannot be underestimated. The recent decision of the UK Upper Tribunal in in Refinitiv Ltd and others v HM Revenue &…

Common Reporting Standard, Compliance, Europe, Germany, Italy, Law enforcement, MNE Profits, Tax transparency, United Kingdom

(Temple Tax Chambers; King’s College London)/ /Leave a comment

Tax authorities have relied on informers for investigative leads perhaps since taxes were first imposed. In the 21st Century high profile cases of theft of taxpayer information by employees of service providers including banks and professional firms have provided data not only of interest to tax authorities but also as a driver of international tax…

Digital platforms, Digital services tax, Double Taxation, MNE Profits, OECD, Pillar I, Tax Treaties, United Nations

(Professor Maastricht University and (co)owner Cygnus Tax BV, Apertas BV and Herreveld van den Hurk BV (i.o.))/ /Leave a comment

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…

Digital economy, EU law, EU/EEA, Fixed establishment, MNE Profits, MNEs, OECD, Pillar I, Pillar II

, , (Loyens & Loeff, Netherlands)/ /Leave a comment

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…

Digital economy, Kluwer podcast, MNE Profits, OECD, Pillar I

(Tax Policy Center of the University of Lausanne, Switzerland)/ /Leave a comment

Welcome to the first post in the series of International Law Talk. During a series of podcasts, Wolters Kluwer will bring you the latest news and industry insights from thought leaders and experts in the field of International Arbitration, IP Law, International Tax Law and Competition Law. Here at Kluwer Tax Blog, we will highlight…

Abuse of law, Abuse of rights, Anti-tax avoidance, Corporate income tax, EU law, EU/EEA, Finance, GAAR, International Tax Law, M&A and Reorganizations, MLI, MNE Profits, Permanent Establishments, Principal purpose test, Principal/ancillary arrangements, Profit allocation methods, Tax Avoidance, Transfer Pricing, United Kingdom, United States

(Temple Tax Chambers; King’s College London)/ /Leave a comment

When the UK introduced its diverted profits tax, I was telephoned by a lawyer at the US Treasury. He wanted to know whether the “just and reasonable” apportionment of profits, in certain circumstances where DPT applied, was a new development? What did it mean? I was reminded of that discussion this week as a result…

BEPS, Digital platforms, Digitalization, Double Taxation, International Tax Law, Latin America, MNE Profits, OECD, Pillar I, Tax Policy, Tax Treaties, United Nations, Value Creation, Withholding Taxes

(Bomchil)/ /2 Comments

A couple of days ago, in the last weekly session of the Indiana-Leeds Summer Tax Workshop, I attended the presentation of a fascinating paper by Steven A. Dean (A Constitutional Moment in Cross-Border Taxation)(1) where the author analyzes the political and economic predominant influence of central economies in the design and shape of post-WWI in…

Double Taxation, Financial institutions, Income categorization, International Tax Law, MNE Profits, OECD, Permanent Establishments, Royalties, Tax Treaties, United Kingdom

(Temple Tax Chambers; King’s College London)/ /Leave a comment

Following the Supreme Court decision in Fowler v HMRC [2020] UKSC 22, the UK First-tier Tribunal has considered another case where classification of a source of income for tax treaty purposes was in issue. This time the question was classification as business profit or income from immovable property in the Canada-UK double tax treaty. In…

EU/EEA, Ireland, MNE Profits, Ruling, State Aid, Subsidiary

(Athens Law School)/ /1 Comment

Some cases just have it all; the Apple case is one of them. First, size: at more than thirteen billion euros, the recovery order Ireland had to enforce dwarfed the previously biggest one (EDF, at around one billion euros). Second, international political implications: the case ignited transatlantic tensions between the EU and the USA, both…

Anti-tax avoidance, Arbitration, BEPS, COVID-19, International Tax Law, MNE Profits, OECD, Permanent Establishments, Tax risks, Transfer Pricing

(Temple Tax Chambers; King’s College London)/ /Leave a comment

In my last blog, I looked at the immediate impact of Covid 19 Lockdowns on key elements of double tax treaties – residence, permanent establishment and employment income. Many tax administrations have published guidance on their approach to these issues. Indeed, almost immediately after the OECD also published helpful comment on them too. The general…

Digitalization, MNE Profits, OECD

(Universidad Carlos III de Madrid)/ /Leave a comment

The magnitude of the so-called Pillar 1 of the OECD Unified Approach to address the tax challenges of the digitalization of the economy should not be underestimated, especially after the endorsement by the Inclusive Framework that took place last week. Specifically, under the name of “Amount A”, the proposal entails the creation of a new…

Abuse of law, Anti-tax avoidance, BEPS, EU law, International Tax Law, Ireland, MNE Profits, OECD, Transfer Pricing

(Temple Tax Chambers; King’s College London)/ /Leave a comment

Revised transfer pricing legislation set out in the Finance Act 2019 (No 45 of 2019), sections 24 to 27, represents a radical shift in the Irish approach to this area of international tax law. Transfer pricing legislation came somewhat later to Ireland than other OECD countries, having been first introduced in Finance Act 2010. The…

Double Taxation, EU law, EU/EEA, International Tax Law, Ireland, MNE Profits, OECD, Permanent Establishments, Tax Treaties, Transfer Pricing, United States

(Temple Tax Chambers; King’s College London)/ /Leave a comment

Two cases, currently before different courts highlight long-standing questions around the attribution of profits to permanent establishments. Irish and United Kingdom law on the attribution of profits to branches of non-resident companies remined identical for decades until 2003. In each country, a non-resident company trading through a branch in that country was chargeable to corporation…

BEPS, Digitalization, Equalization levy, India, International Tax Law, MNE Profits, OECD, Permanent Establishments, Tax Avoidance, Tax Policy, Tax Treaties, Uncategorized, United Nations

(Advocate)/ /Leave a comment

Globally, countries are making a concerted effort to rein in the direct tax challenges posed by the digital economy. Some of this work is directly inspired by the recommendations set out by the OECD as part of its 15-point Action Plan to tackle base erosion and profit shifting. The Indian government, too, introduced two key…