bluuebunny/crossref_metadata_2025 huggingface dataset:
Interest Deduction Limitations: When To Apply Articles 9 and 24(4) of the OECD Model
Authors: Marres O.
Published: December 2023

This article discusses the application of articles 9 and 24(4) of the OECD Model to interest deduction limitations. The article then compares the solution in the OECD Model to the ECJ’s approach to the issue of whether discriminatory transfer pricing and thin capitalization provisions are contrary to the fundamental freedoms of the Treaty on the Functioning of the European Union (2007).
Retroactive Application of the OECD Transfer Pricing Guidelines for Interpretation in Transfer Pricing Issues
Authors: Hagelin J.
Published: December 2023

The position of soft obligations as legal sources is a continuously discussed topic in international law. As policy documents, guidelines and non-binding agreements often are regularly updated, the question of the applicability of different editions to various points in time may arise. The OECD Transfer Pricing Guidelines for Multinational Enterprises and Tax Administrations (OECD Guidelines) were revised most recently in July 2017, and these timing issues therefore appear in, for example, the undertaking of historical transfer pricing reviews and audits of years prior to the release of the updated OECD Guidelines. This article explores the arguments for using the new edition of the OECD Guidelines by comparison to an approach discussed in literature on finding guidance from different versions of the OECD Model Tax Convention (OECD Model) and its Commentary.
A Lose-Lose Situation: EU Freedoms Versus Italian Taxation on Winnings Prior to Recent Italian Amendments
Authors: Rossetti D.A. , Guarino S.
Published: December 2023

The Italian Regional Tax Court of Naples, on 14 October 2016, determined that the tax regime applicable to winnings arising from Italian and European casinos restricts the freedom to provide services within the European Union, which is consistent with previous ECJ case law. Given the ECJ’s longstanding stance on this issue, it is surprising that the Italian legislator waited until 2016 to amend the law. This note describes the Regional Tax Court’s decision, as it represents a valuable tool in understanding the relationship between Italian legislation and EU law.
Recent Italian Case Law Developments on the Withholding Tax Exemption under the EU Parent-Subsidiary Directive (2011/96)
Authors: Orlandoni O. , Moramarco G.
Published: December 2023

This note provides an analysis of Italian case law since 2018 on the withholding tax exemption under the EU Parent-Subsidiary Directive (2011/96), and in particular on the two different positions that exist in relation to the subject-to-tax requirement and the elimination of economic double taxation for the purposes of the Directive.
The Implementation of the 30% EBITDA Rule in Belgium: An Angle with a Twist
Authors: Ledure D. , Paquot J-C. , Van der Velden M.
Published: December 2023

This article examines the implementation of the new interest limitation rule.
Taxless Corporate Income: Balance against White Income, Grey Rules and Black Holes
Authors: Valente P.
Published: December 2023

The potential of globalization and digitization is clearly manifested in international taxation, currently undergoing a complete overhaul. A key factor driving the transformation is “stateless income”. Although this term is extensively used, its meaning is ambiguous. It might be said to comprise flexible income earned by multinationals or simple taxpayers through virtual or cyber transactions. Primary liability for its creation seems to lie with state legislators, who should hence act to remedy the situation.
Court of Justice
Authors: Alvarado M.
Published: December 2023

This overview highlights the ECJ’s decision on the different tax treatment of disability allowances based on their origin and its unjustified restriction of the free movement of workers.
President’s Welcome
Authors: Clayson M.
Published: December 2023

Dear Ladies and Gentlemen, and IFA friends, welcome to the 72nd Congress of the International Fiscal Association (IFA) that is to take place in Seoul on 2-6 September 2018. Our main subjects will be (i) Seeking anti-avoidance measures of general nature and scope - GAAR and other rules, and (ii) Withholding tax in the era of BEPS, CIVs and digital economy.
Evolution of Advance Pricing Agreement Processes: Current and Future Experience in the United States
Authors: Thomas M.P. , Novak K.L. , Lowell C.H.
Published: December 2023

The international tax world has never been more dynamic for both tax authorities and multinational enterprises alike, with rapid commercial and technological advances, increased transparency, fundamental changes to longstanding tax paradigms, and various (often bold) measures by governments to protect their tax bases. Transfer pricing will remain the principal international tax issue, and a familiar tool – advance pricing agreements – may be more important than ever.
The United Kingdom’s Diverted Profits Tax and Tax Treaties: An Evaluation
Authors: Tomazela Santos R.
Published: December 2023

This article examines the diverted profits tax (DPT) introduced by the United Kingdom to counter aggressive tax planning adopted by many multinational enterprises so as to transfer profits from its jurisdiction, and the main controversies surrounding the compatibility of the DPT with tax treaties.
Impact of the ECJ's judgement in Lidl Belgium on the deduction of
foreign branch losses in France
Authors: Leclercq L. , Trédaniel P.
Published: December 2023

This article analyses the judgment of the European Court of Justice
(ECJ) in Lidl Belgium and its impact on French companies having loss-making
branches in another Member State. The article also discusses the relevant
French case law and how it could be viewed as offering new prospects for the
ECJ's case law on the deduction of EU branch losses. The Appendix summarizes
the Dutch tax treatment of foreign branch losses.
VAT’s Superiority: Is the Emperor Dressed like Adam?
Authors: Brederode R. van , Pfeiffer S.
Published: December 2023

More than 160 countries in the world have some form of VAT. This success seems to confirm the general notion that VAT is the superior form of consumption tax, although in reality external factors have played and still play a significant role in the proliferation process. The authors explain that the VAT’s superiority as a consumption tax seems to have evolved into a dogma and as a premise it is hardly challenged. Therefore, the purpose of this article is to do exactly that.
Tax Residence for Individuals and the Income Tax Exemption on the Sale of Homes
Authors: Lara Ramos L.R.
Published: December 2023

In this article, the author considers two important Mexican tax aspects in relation to non-Mexican citizens - the application of the tax exemption on the sale of immovable property that is considered to be an individual’s home and the related issue of the parameters for an individual to become a Mexican tax resident.
“Cashless Taxpayer” – An Innovative Tool to Stimulate Reduction of the Shadow Economy in Poland
Authors: Sarnowski J. , Selera P.
Published: December 2023

Promoting electronic payments and a cashless economy is an important factor in reducing the shadow economy, increasing VAT collection and reducing VAT fraud. Starting from 1 January 2022, Poland joins pioneer countries in constructing tax incentives for cashless payments. So-called “cashless taxpayers” gain a very important advantage: the refund of VAT in 15 days. Poland puts technological tools at the taxable persons’ disposal that, without involving them, will verify whether they have met the criteria for the application of the preferential tax refund scheme on the basis of the data submitted online to the tax administration. Thanks to new technologies and the digitalization of the Polish tax administration such ambitious programmes are possible.
Seeking Certainty – Advance Ruling Practices
Authors: Yun S. , Lee K. , Ahn S. , Kang Y.
Published: December 2023

The comparative survey articles are based on selected papers presented
at the Baker & McKenzie 29th Annual Asia-Pacific Tax Conference held in
Singapore on 29 and 30 October 2013. The 30th Annual Asia-Pacific Tax
Conference is to be held in Hong Kong in November 2014. For more information,
please contact Liane Tsang of Baker & McKenzie, Hong Kong by tel.: +852
2846 2358 or by e-mail: liane.tsang@bakermckenzie.com.
New Guidelines on Functional Currency for Intra-Group Finance
Companies
Authors: Van den Berghe P. , Buyse L.
Published: December 2023

This note provides an overview of new guidelines issued by the Belgian
Commission for Accounting Standards that deal with a request for a derogation
filed by Belgian treasury and finance companies to keep accounting records and
establish and publish annual accounts in a currency other than EUR. The
guidelines make it easier to manage foreign exchange risks for Belgian treasury
and finance companies operating in a non-EUR economic environment.
One Step Towards a Non-Adversarial Tax Regime: Safe Harbour Rules in India
Authors: Agrawal M.
Published: December 2023

The Indian government introduced safe harbour rules in 2013, which were revised in 2017 to align with the OECD Base Erosion and Profit Shifting (BEPS) Project, with the objective of easing the process of doing business and to achieve a non-adversarial tax regime in India. The author provides guidance on the safe harbour rules in India, as well as the thought process behind making amendments in the safe harbour provisions.
The New Special Tax Regime for Inbound Pensioners
Authors: Beretta G.
Published: December 2023

This note discusses the new special tax regime for inbound pensioners, pursuant to which foreign pensioners transferring their tax residence to the southern regions of Italy can opt to pay a lump-sum substitute tax of 7% per year, in lieu of ordinary taxation, on all non-Italian-sourced income.
Equity-based compensation : Singapore
Authors: Leow E. , Wong J.H.M
Published: December 2023

Part of a comparative survey based on selected papers presented at the
Baker & McKenzie 24th Annual Asia-Pacific Tax Conference held in Kuala
Lumpur, Malaysia on 13 and 14 November 2008. The article considers
deductibility of the related expense, tax treatment of an adjustment of the
related expense before vesting, and tax treatment of cash-settled equity based
compensation.
Withholding Taxation and the EU Fundamental Freedoms: Greek Source Taxation of Service Fees
Authors: Manitara A.
Published: December 2023

This article discusses a recent amendment to the Greek Income Tax Code, extending a withholding tax exemption in respect of certain service fees to non-Greek EU service providers. It provides an overview of ECJ case law on the matter of withholding taxation and issues raised under EU law. The questionable aspects of the Greek legislation – now amended – are then examined in light of the responses given by the Court. The article concludes that withholding tax still raises questions in the Single Market.
The Taxation of Cryptocurrency Gains
Authors: Ooi V.
Published: December 2023

Taking Singapore as an example, this article lays out a series of tests for determining whether gains arising from the disposal of cryptocurrencies are trade or business income, “all other income” or capital gains. It also considers the possibility of a presumption that individuals engaging in such transactions are gambling.
The Compatibility of the OECD/G20 Base Erosion and Profit Shifting Proposals with EU Law
Authors: HJI Panayi C.
Published: December 2023

This article examines the compatibility of the proposals produced in respect of the OECD/G20 Base Erosion and Profiting Shifting Action Plan with EU law. Where relevant, the author also reviews the compatibility of the recent EU measures that address aggressive tax planning.
New Withholding Tax on Interest, Royalties and Dividends
Authors: Spoelder E-J. , Loo J.
Published: December 2023

A conditional withholding tax on interest and royalties was introduced per 1 January 2021. The intention is to extend this conditional withholding tax on interest and royalties to include dividend payments in 2024. The Netherlands has never had a (conditional) withholding tax on interest and royalties until 2021. The conditional withholding tax on interest and royalties will apply in the case of direct payments to entities established in low-tax jurisdictions, in the case of abuse or to certain hybrid structures. The introduction of a conditional withholding tax on interest and royalties will have a major impact on international group financing and licensing structures. To illustrate this, the authors have included examples where international structures are impacted.
The Taxation of Social Enterprise
Authors: Bakker A.J.
Published: December 2023

This article looks at the nature of social enterprise, the problems encountered in this area, as well as the tax incentives available in various European countries.
Carbon Emissions and Other Environmental Issues in Asia-Pacific: Recent Developments in Environmental Taxes as an Economic Instrument
Authors: Araki S.
Published: December 2023

As a region with large greenhouse gas emissions and vulnerability to climate change, there is a significant potential for adopting environmental taxes and other economic instruments in Asia-Pacific to address environmental issues. This article provides an overview of recent trends on environmental taxes in selected Asia-Pacific countries. While a considerable number of Asia-Pacific countries have been addressing environmental issues through environmental taxes and other economic instruments, each country has a different emphasis on environmental and energy issues, which can consequently be reflected in the development of its environmental tax policies.
The Barnes Group Case, the Step Transaction Doctrine and Substance over Form
Authors: Carman P.
Published: December 2023

The author discusses the recent Barnes Group case, in which the taxpayers attempted to repatriate funds from Singapore by going through Bermuda. The IRS ignored two entities created as part of the transaction and treated the repatriated funds as a dividend from Singapore.
2012 Tax Changes
Authors: Zielke R.
Published: December 2023

This note provides an overview of 2012 tax changes, including the cross-border implications of these developments.
CFC Rules in Portugal: Still Incompatible with EU Law?
Authors: Mateus Ferreira A.
Published: December 2023

The author discusses Portugal's CFC rules following the first amendments subsequent to the Cadbury Schweppes decision, introduced by the Budget for 2012. The author notes that, while an attempt was made to make the rules EU law compliant, it appears an entirely new set of problems has been introduced.
Taxation of Intangibles in the Nordic Countries
Authors: Wittendorff J.
Published: December 2023

This article provides a summary of the general report prepared by the author for the 2011 Nordic Tax Research Council seminar regarding the taxation of intangible property and addresses, inter alia, R&D tax incentives, the taxation of the development of intangibles, the taxation of the exploitation of intangibles and the issue of base erosion.
New Transfer Pricing Regulations
Authors: Chang M.S.
Published: December 2023

The author considers the new Transfer Pricing Rules and Transfer Pricing Guidelines issued in 2012, as well as the APA Rules and Guidelines.
Independent Professional Diver Residing in the Netherlands Did Not Have a Fixed Base in India
Authors: Pötgens F.P.G.
Published: December 2023

The author, in this article, analyses the decision of the Netherlands Supreme Court in BNB 2016/114 (15 January 2016), wherein the Court held that a Netherlands resident independent professional diver carrying out repair work at a floating tank storage facility situated at a fixed location within the territorial waters of India did not have a fixed base in India.
Three Significant
Cases with Transfer Pricing Implications
Authors: Rybnik Daniel
Published: December 2023

Although the Argentine Supreme Court has not considered a transfer
pricing case since the country came back to democracy 25 years ago, some lower
courts’ rulings on the subject show incipient developments for controversy.
This article considers three such cases, and contemplates why transfer pricing
cases are not more frequently held at the Supreme Court level.
Courts Hold That Notional Interest Deduction Does Not Require Substance
Authors: Mortier F.
Published: December 2023

The Courts of Appeal of Antwerp and Liège are of the opinion that interposing a Belgian finance company is, as such, not abnormal even if the company holds one single loan. The receiving and granting of a loan, and the management thereof, is clearly an economic activity, and – given the magnitude of the loan – not of an abnormal nature. The notional interest deduction is not conditional upon a certain level of economic substance.
Taxing Employee Benefits in Kind under EU VAT
Authors: Blokland W.J.
Published: December 2023

In this article, the author discusses the circumstances under which the provision of benefits in kind to employees must be characterized as constituting a taxable supply for consideration, and the further consequences of such characterization, taking into account the ECJ’s decision in Astra Zeneca. The author also discusses the significant differences between taxing those benefits as normal supplies or as so-called deemed supplies.
The New
Netherlands-UK Tax Treaty 2008 – An Analysis
Authors: René Offermanns Dr
Published: December 2023

In this article, the authors consider the most
important aspects of the new income tax treaty and protocol signed by the
Netherlands and the United Kingdom on 26 September 2008 (hereinafter: the new
treaty). In particular, the authors examine the investment income,
anti-avoidance, avoidance of double taxation, remittance basis, partnership,
exchange of information and mutual agreement, and arbitration provisions of the
new treaty.
Announcement of New Tax Ruling Practice
Authors: Betten R.
Published: December 2023

The initiative has been taken by the Netherlands State Secretary of Finance to evaluate the Netherlands tax ruling practice. The State Secretary sent a letter to the Chairman of the Netherlands House of Representatives (Tweede Kamer) on 22 November 2018. In this letter, he outlined the new approach to international tax ruling practice. The letter is summarized and commented on in this contribution.
The Digitalization of Tax Administration in China (People's Rep.), India and Korea (Rep.) in the Fourth Industrial Revolution
Authors: Olowska M. , Peshori P. , Lan S.
Published: December 2023

In this article, the authors consider the different ways in which China (People's Rep.), India and Korea (Rep.) have digitalized their tax administrations in the Fourth Industrial Revolution, together with an appreciation of the implications of these varying approaches.
Regulations Deem Debt to Be Equity and Derivative Payments to Be Dividends
Authors: Carman P.
Published: December 2023

Two sets of regulations recently finalized by the US Treasury may significantly impact the structure of cross-border financial transactions with US exposure.
Advance Pricing Agreements: The Experience So Far
Authors: Bhatnagar V.
Published: December 2023

Following the completion of the first batch of applications for
advance pricing agreements, the author provides an overview of the taxpayer
experience thus far with the APA programme in India.
Report of the Proceedings of the Seventh Assembly of the International Association of Tax Judges Held in Madrid on 30 September and 1 October 2016
Authors: Michel B.
Published: December 2023

This report summarizes the proceedings of the Seventh Assembly of the International Association of Tax Judges, which was held in Madrid on 30 September and 1 October 2016.
A Developing Relationship: Tax Authority – Taxpayer – Tax Adviser
Authors: Reibel R.
Published: December 2023

This note outlines the proceedings of the 3rd CFE Professional Affairs Conference held on 1 December 2010 in Düsseldorf to discuss initiatives in France, Germany, the Netherlands and the United Kingdom to enhance the relationship between taxpayers, the tax authorities and tax advisers.
Is Fiat’s Tank Half-Full or Half Empty? The General Court’s Decision in Luxembourg v. Commission (T-755/15)
Authors: Lazarov I. , Buriak S.
Published: December 2023

This article examines the recent decision by the General Court on the case of State aid concerning Fiat (T-755/15). Although the authors agree with the ultimate outcome of the decision, they believe that the General Court erred in its reasoning. First, it should not have endorsed that there are transfer pricing rules inherent in article 107 of the TFEU and outside of the domestic reference framework. Second, the General Court was wrong in accepting the accounting equity as an appropriate profit level indicator when return on equity is applied to an entity that performs financing activities. Finally, the General Court should have recognized the principle relevance of the neutralization argument (i.e. saving taxes in one jurisdiction does not necessarily entail an advantage on the group level).
Recent Developments Seminar
Authors: Baker P.
Published: December 2023

This article is the twelfth of a series of articles that will feature the sessions to be presented at the 66th Congress of the International Fiscal Association (IFA), to be held in Boston September 30 through October 4. Readers who wish to register may do so at www.ifaboston2012.com or at the IFA USA Branch website www.ifausa.org (click on the IFA 2012 Boston icon).
Diagnosing the VAT Compliance Burden: A Cross-Country Assessment
Authors: Evans C. , Highfield R. , Tran-Nam B. , Walpole M.
Published: December 2023

Historically, a variety of methodologies have been used to gauge the size, nature and drivers of the burden imposed on businesses and others in complying with their tax obligations. While having their own set of features and distinct working objectives, the more commonly used methodologies are subject to a range of conceptual and practical limitations. In this article, the authors set out the findings of a study conducted across 47 countries in 2018, utilizing an innovative diagnostic tool and method for gauging compliance burden that has been developed for use in comparative cross-country assessments of the VAT compliance burden and its main drivers.
Fixed Establishment: From Berkholz and DFDS to Welmory and Dong Yang
Authors: Lasiński-Sulecki K.
Published: December 2023

The concept of “fixed establishment”, initially undefined in EU VAT legislation, has always led to disputes over the boundaries of its meaning. The Court of Justice of the European Union has created its definition in its case law and this definition was eventually “copy-pasted” in the Implementing Regulation. In this article, the author discusses recent cases that have revealed how this definition still creates interpretation issues in the world of new technologies and economic reality.
The Concept of Permanent Establishment in the Courts: Operating
Structures Utilizing Commission Subsidiaries
Authors: Carmona Fernández N.
Published: December 2023

This article examines the concept of a permanent establishment (PE) in
several recent court decisions by analysing the weakness and inefficiency of a
literal interpretation of the traditional PE concept, considering the scope of
a commission agent and addressing the possibility of a wider concept of a
PE.
Tax Treaty Interpretation – A Response to John Avery Jones
Authors: Lang M.
Published: December 2023

In this article, Michael Lang comments on, and presents his own arguments in relation to, some of the treaty interpretation issues raised by John Avery Jones.
The ECJ's Judgment in Krankenheim – The Last Piece in the Cross-Border Loss Relief Puzzle?
Authors: Meussen G.T.K.
Published: December 2023

The author, in this contribution, examines the significance of the European Court of Justice decision in the case of Krankenheim with regard to completing the picture in respect of cross-border loss relief in the European Union.
Council
Authors: Valério C.
Published: December 2023

This overview highlights the Council’s agreement on DAC8, the adoption of MiCA and making crypto transfers traceable.
Marketing Intangibles: An Indian Perspective
Authors: Bilaney S.K.
Published: December 2023

The author discusses the approach of the Indian tax authorities to the contentious issue of marketing intangibles, and examines related rulings by various Indian courts in light of the guidance provided by the OECD/G20 in the BEPS final reports.
The Italian Voluntary Disclosure Programme: A New Era of Tax Amnesty?
Authors: Mastellone P.
Published: December 2023

In this article, the author sheds light on the various aspects and criticisms of the recently introduced voluntary disclosure regime.
Council
Authors: Morales T.
Published: December 2023

This overview highlights the Council’s (i) conclusions on the action plan for fair and effective taxation in the globalized and digitalized economy, (ii) agreement on DAC7 and international tax issues, (iii) approval of new own resources for the EU Budget for 2021-2027, and (iv) decision on the signing and provisional application of the Trade and Cooperation Agreement with the United Kingdom.
Debt Classification Leads to BEPS Action in Finland
Authors: Laukkanen A.
Published: December 2023

The author analyses a recent Finnish case concerning the ability of the tax authorities to reclassify debt as equity under domestic law. The Finnish response to the OECD’s base erosion and profit shifting initiative is also considered.
Updated E-Tax Guide on Singapore Transfer Pricing Guidelines
Authors: Bose A. , Alvarez U.
Published: December 2023

On 10 August 2021, the Inland Revenue Authority of Singapore published the sixth edition of the Singapore Transfer Pricing Guidelines with key updates that are compulsory, largely “compliance” in nature, and may have a significant impact on taxpayers with intercompany transactions. The article discusses in detail all the key updates and shares the authors’ views on some of these changes.
Italian Revenue Agency Provides New Guidance on the Taxation of Trusts
Authors: Manca M.
Published: December 2023

In this article, the author examines Circular Letter No. 34/E of 20 October 2022 on certain aspects of the taxation of trusts, which provides guidance on two specific issues, i.e. the tax treatment of “attributions” in favour of subjects resident in Italy from trusts established in “privileged taxation jurisdictions” and the form of application of the inheritance and gift tax in respect of assets transferred to a trust fund.
Court of Justice
Authors: Morales T.
Published: December 2023

This overview highlights (i) the ECJ’s decision on the compatibility of legislation that denies certain tax advantages because the income is exempt pursuant to a tax treaty in the other Member State and (ii) the General Court’s decision not to annul a European Commission decision to formally open a State aid procedure.
VAT Registration Thresholds in Europe
Authors: Annacondia F.
Published: December 2023

As is traditional in the sixth issue of each year, in this issue of the International VAT Monitor an overview is presented of the VAT registration thresholds in most European (both EU and non-EU) countries, applicable in October 2023 and supplemented with announced amendments entering into force on 1 January 2024.
Transfer Pricing of Distribution Activities in Business Practice – Results of the Transfer Pricing Study 2023
Authors: Bärsch S-E. , Ditz X. , Kluge S.
Published: December 2023

As part of the Transfer Pricing Study 2023, companies in Germany, Austria and Switzerland were recently asked about the design of their transfer pricing systems and their experiences with the acceptance of these systems by the tax authorities and within the company. In particular, the role of distribution activities as a key function for MNEs in the design of transfer pricing systems, in transfer pricing management and in tax audits was under the authors’ investigation.
EU Place-of-Supply Rules from 2010 – VAT Committee Guidelines
Authors: Annacondia F. , Corput W. van der
Published: December 2023

In the course of 2009, the VAT Committee adopted a series of guidelines on the new place-of-supply rules that entered into effect on 1 January 2010. Although they are non-binding interpretations by the Member States of the currently applicable rules, the guidelines give some insight into the background of the provisions of the Commission’s proposal for a new Implementing Regulation, which, to a large extent, are based on the guidelines included in this overview.
Untangling the Role of Reservations in the OECD Multilateral Instrument: The OECD Legal Hybrids
Authors: García Antón R.
Published: December 2023

By elaborating a typology and unearthing the effects of the MLI reservations, the author concludes that the OECD is shifting away from the Vienna Convention on the Law of Treaties to endorse unknown legal categories, thereby concealing the lack of consensus regarding how best to deal with base erosion and profit shifting practices.
Special Tax Regimes for High Net Worth Individuals
Authors: Offermanns R.H.M.J. , Moniz R. Botelho
Published: December 2023

In this article, the authors provide an overview of various European regimes designed to attract high net worth individuals (HNWIs). They examine the common features of jurisdictions attracting HNWIs, followed by an analysis of the special compliance programmes for HNWIs that some jurisdictions offer.
2010 Tax Changes
Authors: Felkai R.
Published: December 2023

This note reports on the 2010 tax changes, with a focus on controlled
foreign company regulations and property taxation, which, for the most part,
will apply from 1 January 2010.
The Transfer of a Company’s Tax Residence within the European Union: The New Italian Rule on Exit Taxation
Authors: Mojana M. , Marchiò S.
Published: December 2023

This note provides an overview of recent amendments to the Italian exit tax regime further to the ECJ’s decision in National Grid Indus and lists a number of issues that arise in regard to implementation of the legislation.
Postponement of the Commission’s Proposal for a CCCTB Directive: Possible Ways Forward
Authors: Cerioni L.
Published: December 2023

In this article, the author considers the implications of the postponement of the Commission’s proposal to introduce a Common Consolidated Corporate Tax Base and possible ways forward in these circumstances, with particular reference to the case law of the European Court of Justice and the Lisbon Treaty.
Reduction of VAT in the Construction Sector in Montenegro
Authors: Vukčević I.
Published: December 2023

In this article, the author describes a VAT reduction scheme in the sector of construction of residential property in Montenegro. Following an initial attempt to combat the scheme, the tax authorities did not take any further action, although they had the means to do so, and there are no signs that the Ministry of Finance will take action to clarify the VAT legislation and close the gaps.
Tax Strategies for Investing and Structuring into Asia-Pacific – Use of Hong Kong and Singapore as Regional Holding Companies
Authors: Finnerty C.J. , Pellone C. , Derksen N. , Wun S.
Published: December 2023

Investing into the Asia-Pacific region requires looking into numerous structuring aspects, such as access to tax treaties, capital gains tax and transfer taxes. Additionally, the overall investment structure must consider the various countries the investor is planning to invest and/or operate in, which will invariably entail the use of a holding company. This article focuses on the use of holding companies in tax planning and structuring in the Asia-Pacific region and discusses the growing attractiveness of using Hong Kong and/or Singapore as a regional holding company location.
The Cloud, E-Commerce and Taxable Presence
Authors: Tan A. (Allen) , Lee S.H. , Toh T.
Published: December 2023

This comparative survey article on Singapore is based on a paper presented at the Baker & McKenzie 30th Annual Asia-Pacific Tax Conference held in Hong Kong from 13-14 November 2014. The 31st Annual Asia-Pacific Tax Conference is to be held in Singapore in November 2015.
Recent Tax Changes
Authors: Gaoua N.
Published: December 2023

Following the recent presidential election, the tax policy in France radically changed. This note provides an overview of the key elements of the Second Amending Financial Law for 2012 and provides insight into the new underlying tax policy.
Administrative and Legal Regulation of Local Taxes and Fees in Ukraine: The Current State of Affairs and the Influence of EU Member State Legislation
Authors: Yara O. , Hlushchenko S. , Koval M. , Berlach H. , Lytvyn N.
Published: December 2023

In recent years, Ukraine has intentionally taken a course towards European integration. This article provides a comprehensive analysis of the influence of the European Union on the regulation of local taxes and fees in particular. The article notes that a key area of concern is identifying and preventing tax evasion. The article proposes improvements to the decentralization mechanism, as well as an increase in the allocation of personal income taxes to local budgets.
Special Tax Regime Applicable to Contributions of Controlling and “Qualifying” Participations in Italy: Recent Developments
Authors: Allena M. , Rossi R.
Published: December 2023

This article addresses the main features of the tax rules applicable to contributions of participations under Italian law in light of experience gained since the broadening of the favourable tax regime relating to contributions of “qualifying” participations. The authors highlight the main characteristics of the regime with a focus on transactions involving non-resident entities.
Non-Monetary Consideration in Valuation of Goods Supplied under “Direct Selling” Business Model
Authors: Koh S.H.
Published: December 2023

In this Column, the author provides his opinion on a Singapore High Court case related to non-monetary consideration regarding a direct selling business model.
Structuring Foreign Investments
Authors: Finch J. , Saw Y.W.
Published: December 2023

This article provides an overview of the tax and non-tax aspects of doing business in Myanmar, specifically in relation to inbound investments. Other than domestic and international tax aspects, the authors also describe the non-tax aspects of carrying on business in Myanmar, such as investment forms, incorporation procedures and capital requirements pursuant to the Foreign Investment Law.
New Draft Transfer Pricing Legislation at a Glance: A Step towards the OECD
Authors: Heidecke B. , Nanavaratorn T.
Published: December 2023

Following the transposition of the EU ATAD on the national level, Germany now has also introduced new transfer pricing provisions in a draft law. This article presents the current treatment and the new changes proposed, as well as some of the views from German tax practitioners in this regard.
EU Implementation of BEPS Action 12 in Light of Human Rights Requirements
Authors: Voje J.
Published: December 2023

The author examines the tools available to tackle aggressive tax planning and presents the framework for a mandatory disclosure regime referred to in Action 12. She argues for a potential mechanism in the form of an EU directive to adequately address cross-border tax schemes. Further, the limitations on EU action in light of human rights law are analysed.
Controlled Foreign Companies Reform: How the Proposed New Rules Interact
with Transfer Pricing Legislation
Authors: Hay D.
Published: December 2023

On 26 January 2010 HM Treasury and HM Revenue & Customs (HMRC)
issued their long-awaited discussion document setting out proposals for a
reformed controlled foreign company (CFC) regime. This article examines some of
the current ways these CFC and transfer pricing regimes interact, and the new
potential interactions arising as a result of the CFC proposals.
Transfer of Residence within the European Union: The Treatment of Pre-Existing Losses – Part 1
Authors: Rivolta A.
Published: December 2023

In this two-part article, the treatment of pre-existing losses upon a transfer of residence within the European Union is discussed. In Part 1, EC law concepts, the ideal versus actual tax treatment and ECJ case law regarding treatment in the departure state are considered. Part 2 focuses on ECJ case law regarding the arrival state, secondary EC law and possible solutions to the issues discussed.
Tax Information Gathering
Authors: Joseph A.
Published: December 2023

The powers of the Commissioner to obtain information about taxpayers has been increased under two recently enacted pieces of legislation, in line with OECD proposals.
Recent IRS Actions and Court Decisions Affecting the Financial Services
Sector
Authors: Hammer V.
Published: December 2023

The second half of 2010 continued to be a busy period for tax
developments affecting the financial services sector. The author considers
twelve of these, including court decisions and regulations under the Internal
Revenue Code.
Foreign Corporate Income Tax Credit – A Case of Treaty Override Caused by Domestic Case Law
Authors: Perrou K.
Published: December 2023

In this note, the author discusses the implications of Circular 1060/19-3-2015, which is based on case law on the order that certain tax credits should be deducted. The effect of the Circular is that foreign tax credits are not always fully taken into consideration.
Italian Financial Transaction Tax Implications of the Evolving Regulatory Landscape: The Post-MiFID II Financial Market Ecosystem
Authors: Salvadori di Wiesenhoff V.
Published: December 2023

This article outlines the Italian financial transaction tax implications of some of the new MiFID II and MiFIR rules for the EU financial markets. In particular, it focuses on the main changes to the market structure framework (distinction between bilateral and multilateral trading, MiFID II trading venues, trading obligation for shares and MiFID II trading capacities) and analyses the availability of the reduced Italian financial transaction tax rate/charges for trades executed on regulated markets and multilateral trading facilities.
Advance Pricing Agreement Programme
Authors: Patel V.T. , Pradhan Y.D.
Published: December 2023

Amendments made to the India Transfer Pricing Regulations through Union Budget 2012-13 have drastically changed the transfer pricing landscape in India. The authors consider these changes and various aspects of the APA programme.
A Look Back at EU VAT Developments in 2019 Regarding Insurance and Financial Services: Part 1
Authors: Gamito P.
Published: December 2023

In this article, which is divided into two parts, the author addresses the jurisprudential and policy developments that took place in 2019 in the area of VAT on insurance and financial services. Part 1 of this article provides some background and offers a detailed review of the 2019 case law of the Court of Justice of the European Union. Part 2 of this article (published in the next issue of this journal) reviews the pending cases and discusses recent policy developments that might play a role in the (expected) reform of the EU VAT framework for insurance and financial services.
Migration of Intellectual Property from Israeli Technology Companies
Authors: Hubscher S. , Houlie J. (Jacky)
Published: December 2023

In this article, the authors highlight the strength of the Israeli technology market and the upswing of foreign investment in Israel in various forms (e.g. acquisitions or the establishment of subsidiaries). They review the Israeli tax incentives for maintaining intellectual property (IP) within Israel, as well as both the OECD and Israeli principles of business restructuring, addressing the various resulting models, such as outright sale and licensing structures.
Corporate Loss Utilization through Aggressive Tax Planning
Authors: Sousa da Câmara F. de , Fernandes J. Almeida
Published: December 2023

Global corporate losses have increased significantly in recent years. Where the resulting loss carry-forwards cannot regularly be utilized by taxpayers, it may happen that some of them look for loopholes and develop aggressive tax planning techniques in order to deploy the use of the losses in tax planning. For this Comparative Survey, the authors look into corporate loss utilization and present a description and analysis of the situation in their country. Country report on Portugal.
The ECJ Decision in Italmoda in the Light of the Settled Case Law of the European Court of Human Rights
Authors: Sanders J.
Published: December 2023

In the Italmoda case, the ECJ ruled that measures such as rejecting the right to deduct or denying the application of a zero rate in response to (suspected) fraud or abuse do not have the nature of a “sanction” within the meaning of the European Convention on the Protection of Human Rights and Fundamental Freedoms. The author challenges this finding of the ECJ on the basis of an analysis of relevant decisions of the ECHR. According to the author, the measures in question should, as a consequence, have a clear and unambiguous legal basis in accordance with article 7 of the European Convention on the Protection of Human Rights and Fundamental Freedoms.
Classification of Foreign Entities for German Tax Purposes
Authors: Kahlenberg C.
Published: December 2023

The author provides an overview of the classification process for foreign legal entities in Germany for taxation purposes. The criteria that are determinative are outlined and the overall significance of individual criteria in the classification process is analysed. The extent to which criteria considered significant by the tax authorities have been sanctioned by the law is addressed, as well as whether such criteria are also applicable to foreign legal entities other than US LLCs.
Proposed Changes to US Transfer Pricing Law
Authors: Anwar N. , Lin A. , Owens T.P. , Wright D.R.
Published: December 2023

This article presents a very brief history of US transfer pricing
experience, followed by a short description of the current US transfer pricing
environment; a summary of testimony presented to the US House Committee on Ways
and Means concerning possible changes to Sec. 482 of the Internal Revenue Code
as put forth by the Obama administration; and the authors’ comments.
The new corporate income tax law
Authors: Brink-van Agtmaal W.M.M. van den
Published: December 2023

Vietnam's new corporate taxation system came into effect from 1
January 2009 with the implementation of the new Corporate Income Tax Law. The
article provides a concise overview of the salient features of the new
law.
The 2016 Tax Amnesty Law: Unveiling Beneficial Owners?
Authors: Nugroho A.D.
Published: December 2023

This article seeks to establish the link between the rules on data and information management in the 2016 Indonesian Tax Amnesty Law and efforts to unveil beneficial ownership. The author addresses the importance for future tax compliance of including in the law detailed provisions on specification, maintenance and utilization of data, and information on beneficial owners of assets and income. He finds that the benefits granted by the tax amnesty are sufficient to ensure that declarations of onshore and offshore ownership of assets and income provide information that would otherwise be absent by enforcement of procedural tax laws. However, generic specification of data and information has hindered the opportunity for the government to discover beneficial ownership of assets. The tax amnesty legislation and its implementing regulations did not address the nature of business and purpose of transactions, both of which may determine whether a corporate or individual is the beneficial owner of income for tax treaty purposes. It is therefore arguable whether data and information acquired during the tax amnesty period will be useful for future tax compliance purposes.
Luxembourg’s Exit Tax Regime Recast To Comply with ECJ Case Law
Authors: Schaffner J. , Thill O.
Published: December 2023

Bill No. 6556 was adopted on 26 May 2014 to remedy various
incompatibilities of Luxembourg legislation with EU law. This note comments on
the provisions of the Bill that address Luxembourg's exit tax regime.
Procedures announced for mandatory arbitration under the Germany-United
States tax treaty
Authors: Dehnen P.H. , Ruchelman S.C.
Published: December 2023

The 2006 protocol to the 1989 tax treaty and protocol between Germany
and the United States amended both the treaty and the protocol. The 2006
protocol provides for mandatory arbitration if certain conditions are
satisfied. In December 2008, the competent authorities of Germany and the
United States signed a Memorandum of Understanding which deals with requests
for competent authority assistance and arbitration. The Memorandum of
Understanding is published in I.R.S. Announcement 2008-124, and guidelines
supplementing the Memorandum of Understanding are published in I.R.S.
Announcement 2008-125. This article provides an overview of the substantive and
procedural provisions for mandatory arbitration in the 2006 protocol and the
Memorandum of Understanding.
Approaches to tax avoidance prevention in seven Asian jurisdictions : a
comparison
Authors: Prebble Z.
Published: December 2023

This article compares the anti-avoidance approaches of seven
jurisdictions, i.e. South Korea, Japan, Indonesia, China, India, Malaysia and
Singapore. The article addresses the statutory and judge-made general
anti-avoidance rules in these jurisdictions and deals with the core concept of
avoidance. The article focuses on transactions that most would recognize as
avoidance and on how these seven jurisdictions either frustrate avoidance or
allow it.
The VAT Aspects of Business Restructuring
Authors: Achatz M.
Published: December 2023

This article summarizes the results of Seminar A of the 2011 Paris IFA Congress regarding the “VAT aspects of business restructuring”, which was designed as a companion Seminar to Subject 1 on “Cross-border business restructuring”.
The Brazilian CFC Regime: Update on Recent Developments
Authors: Violin P.
Published: December 2023

This article provides an update on the changes to the new Brazilian
regime for controlled foreign companies and affiliated companies upon
conversion of Provisional Measure 627/2013 into Law 12,973/2014.
Evaluating the Taxability of Cryptocurrencies (Bitcoin) in Nigeria – Lessons from the United States and Australia
Authors: Nwabachili C. , Ugwuanyi I. , Nwafor N.
Published: December 2023

Governments over the world have been either proactive or reactive in providing some institutional-legal frameworks towards regulating cryptocurrencies. However, it appears that no such measures have yet been introduced in Nigeria, despite its citizens’ patronage level of digital currencies. This article therefore sets out to appraise the nature of Bitcoin (BTC), this being the most popular of the cryptocurrencies. This is done with a view to ascertaining the legal status and taxability of Bitcoin in Nigeria.
Recent EU VAT Changes – The Invoicing Directive
Authors: Bal A.
Published: December 2023

In this note, the author outlines the provisions of the new EU Invoicing Directive (2010/45), in particular, the requirements for electronic invoicing and for the issuance, content and storage of invoices.
Council
Authors: Alvarado M.
Published: December 2023

This overview highlights the Council’s introduction of a temporary VAT exemption on certain supplies for the Commission and EU agencies in the context of the COVID-19 pandemic.
The 1997 Brazil Transfer Pricing Policy Approaches Its End
Authors: Almeida A.
Published: December 2023

This article discusses the background and status of the 1997 Brazilian transfer pricing policy and the perspectives on the potential convergence of the Brazilian model with the OECD standard, based on the review of the joint assessment on the matter prepared by the OECD and the Brazilian Federal Revenue at the end of 2019.