natgillin/translations-raw huggingface dataset:
This focus is further confirmed in the 2017 OECD TP Guidelines, paragraph 6.42: ‘While determining legal ownership and contractual arrangements is an important first step in the analysis, these determinations are separate and distinct from the question of remuneration under the arm's length principle.
I mean what really matters to customers is not the name, it's what you do, right.
For transfer pricing purposes, legal ownership of intangibles, by itself, does not confer any right ultimately to retain returns derived by the MNE [multinational enterprise] group from exploiting the intangible, even though such returns may initially accrue to the legal owner as a result of its legal or contractual right to exploit the intangible.
And you have to have the relevant selection.
The return ultimately retained by or attributed to the legal owner depends upon the functions it performs, the assets it uses, and the risks it assumes, and upon the contributions made by other MNE [multinational enterprise] group members through their functions performed, assets used, and risks assumed’.
You have to have the relevant services, right, you have to pay attention to the customer.
2017 OECD TP Guidelines, Chapter VI, and BEPS Actions 8-10 Final Report, p. 141-160.
You have to pay attention to the product that you're selling, right, because every product comes with different characteristics and one thing might be more important here, might be more important there.
1995, 2010 and 2017 OECD TP Guidelines, paragraph 7.2.
The brand name itself I think has only become important because we filled it with life.“; výpoveď [viceprezident a riaditeľ so zodpovednosťou za nemecký trh v spoločnosti Amazon Deutschland Services GmbH, Mníchov, Nemecko], 13. júna 2014, s. 146, body 13 – 25: „Why doesn't brand help you build your business?
[306] 1995, 2010 and 2017 OECD TP Guidelines, paragraph 7.29.
A. Not at all.
1995, 2010 and 2017 OECD TP Guidelines, paragraphs 7.9 and 7.10.
Q. Why not I said?
EU Joint Transfer Pricing Forum, JTPF report: Guidelines on low value adding intra-group services, meeting of 4 February 2010, available at: https://ec.europa.eu/taxation_customs/sites/taxation/files/docs/body/jtpf_020_rev3_2009.pdf.
A. What helps build your business is not a name, right?
2010 JTPF report, paragraphs 59-60.
You need, you need something behind that name.
2010 JTPF report, paragraph 62.
I mean, Amazon is a name until you fill it with the individual product that is relevant to the customer and build to services. I've been talking about and do all that stuff.
For completeness it is noted that a portion of the labour costs can be included in COGS, when it is directly associated with the production.
I mean, it's, it's not enough to just say we're an online store.
See Recital 38 of the Opening Decision.
I mean, you need to bring it alive, right?
In Table 17, EBITDA stands for the conventional acronym of ‘earnings before interest, taxes, depreciation and amortisation’.
So that's what's driving it“.
The Commission's decision of 7 October 2014 to initiate the procedure laid down in Article 108(2) of the Treaty on the Functioning of the European Union, C(2014) 7156 final.
Amazon Final Transcripts [Senior Vice President Product Management – Retail, Amazon Corporate LLC, US], 4. novembra 2014, bod 727:25, bod 728:1 – 8, bod 625:4 – 7, bod 685:5 – 9.
0,45 % and 0,55 % on European turnover respectively, as illustrated in Figure 1.
Amazon Final Transcripts [viceprezident a finančný riaditeľ v spoločnosti Amazon Corporate LLC, Spojené štáty], 17. novembra 2014, bod 2848: 22 – 25: „They don't really care where they get it from.
Previously, Article 10(2) of Regulation (EC) No 659/1999.
They just want to get it at the right price, they want it to be convenient.
In its submission of 21 November 2014, par.
They want to get it quickly.
43, Luxembourg refers to the report of the Code of Conduct Group on Business Taxation, presented to the Council on 27 May 2011: ‘With respect to the Luxembourg tax measure concerning companies engaged in intra-group financing activities the Group discussed the agreed description at the meeting on 17 February 2011.
And so those are the attributes that matter to customers.“; bod 2852:11 – 17: „At the end of the day, you know, I don't think a customer really cares once they have that item that they want and in their home or wherever, where that item came from.
Luxembourg informed the Group that Circular no. 164/2 dated 28 January 2011 determines the conditions for providing advance pricing agreements confirming the remuneration of the transactions. […] With the benefit of this information, the Group agreed that there was no need for this measure to be assessed against the criteria of the Code of Conduct’.
The item is the item.
Luxembourg's submission of 21 November 2014, par.
What they wanted is they wanted to get it quickly, they wanted to make sure it was at the right price, it was convenient and those are the attributes“.
44: ‘At its meeting on 6 December 2011, the OECD Forum on Harmful Tax Practices agreed that 10 systems did not have to be subject to further examination, one of which was the advance tax analysis of intra-group financing carried out in Luxembourg’.
Pozri oddiel 2.3.2.1.
In its submission of 21 November 2014, par.
Amazon Final Transcripts [viceprezident a riaditeľ so zodpovednosťou za nemecký trh v spoločnosti Amazon Deutschland Services GmbH, Mníchov, Nemecko], 5. novembra 2014, bod 976: 5 – 17.
73, Luxembourg refers to the Commission Decision in case SA.32225 of 2 October 2013: Expropriation compensation of Nedalco in Bergen op Zoom.
Pozri Amazon Final Transcripts: [viceprezident pre maloobchodný predaj v Európe, zodpovedný za všetky činnosti maloobchodného predaja v Európe v spoločnosti LuxOpCo, Luxembursko, bývalý riaditeľ zodpovedný za francúzsky trh v spoločnosti Amazon.fr SAS, Clichy, Francúzsko], 5. novembra 2014, bod 905: 1 – 10: „So did the brand name help?
Case T-219/10 Autogrill España v Commission ECLI:EU:T:2014:939, paragraphs 44 and 45.
You know, I think that it wasn't helping in the sense of building selection and trying to get vendors to come on board locally. […].
By letter of 5 December 2004 Amazon informed Luxembourg that the restructuring would be completed only in 2006 and asked for the contested tax ruling to be applicable for the first five years as of then.
Pozri Amazon Final Transcripts: [Vice President Sales International, Amazon Corporate LLC, US, former Head of European Third Party Business (such as Marketplace), LuxOpCo, Luxembourg], 4. novembra 2014, bod 810: 6 – 21: „Similar, yeah, with the local -- yeah, so what's important to me like, you know, and the reason IP exists is that what's really important for UK seller or UK customer is that Amazon.co.uk where the customer knows in the UK, the brand name, the customer knows in the UK Amazon.co.uk that's what the customer types to go and visit our site, www.Amazon -- you get it -- Amazon.uk, whatever it is. As it is Amazon.fr, Amazon.de, Amazon.it because they are local brands -- local brand names, you know, for each of these countries. I think that's very important.
On 23 December 2004, Luxembourg confirmed that the described delay does not affect the agreement of 6 November 2003, provided that other stipulations of the request of 23 October 2003 are maintained.
Q. Okay.
Amazon refers to the following State aid cases where, according to Amazon, a particular tax rule served as the reference framework: Commission Decision 2011/282/EU of 12 January 2011 on the tax amortisation of financial goodwill for foreign shareholding acquisitions No C 45/07 (ex NN 51/07, ex CP 9/07) implemented by Spain (OJ L 135, 21.5.2011, p. 1); Commission Decision 2007/256/EC of 20 December 2006 on the aid scheme implemented by France under Article 39 CA of the General Tax Code — State aid C 46/2004 (ex NN 65/2004) (OJ L 112, 30.4.2007, p. 41), paragraph 86; Case C-6/12, P Oy, paragraphs 22-31; Joined Cases C-78/08 to C-80/08, Paint Graphos, paragraph 50.
A. If you ask my dad, he knows Amazon.fr, you know, not Amazon.com because that's what he types, you know, to go to the France site to buy products in his local market.“ Pozri aj Amazon Final Transcripts [viceprezident a riaditeľ so zodpovednosťou za nemecký trh v spoločnosti Amazon Deutschland Services GmbH, Mníchov, Nemecko], 5. novembra 2014, bod 976: 5 – 17, v ktorom sa vysvetľuje, že v Nemecku chcela byť spoločnosť Amazon.de od začiatku vnímaná ako nemecký obchod, ktorý zamestnáva nemecký personál, spracúva objednávky v Nemecku a poskytuje služby nemeckým zákazníkom.
Reference is made to Decision 2011/282/EU and Commission Decision 2011/276/EU of 26 May 2010 concerning State aid in the form of a tax settlement agreement implemented by Belgium in favour of Umicore SA (formerly known as Union Minière SA) (State aid C 76/2003 (ex NN 69/2003)) (OJ L 122, 11.5.2011, p. 76), in particular paragraphs 204 and 223.
V Nemecku sa teda spoločnosť Amazon.de vždy vyslovovala a vyslovuje po nemecky a nie po anglicky.
Amazon's submission of 5 March 2015, Annex 2.
Amazon Final Transcripts: [viceprezident a riaditeľ so zodpovednosťou za nemecký trh v spoločnosti Amazon Deutschland Services GmbH, Mníchov, Nemecko], 5. novembra 2014, bod 1001: 8 – 18: […].
In particular, in Amazon's submission of 5 March 2015, par.
Amazon Final Transcripts: [Vice President Sales International, Amazon Corporate LLC, US, former Head of European Third Party Business (such as Marketplace), LuxOpCo, Luxemburg], 4. novembra 2014, bod 772: 8 – 25: „Yeah, it did not.
43 to 45 and 49: Amazon refers to Joined Cases C-106/09 P and C-107/99 P Commission and Spain v Government of Gibraltar and United Kingdom, para.
You know, the brand name, you know, Amazon was clearly a good name in books […].
72 and 73 and the case-law cited; Case C-6/12, P Oy, paragraph 17-19, case T-219/10 Autogrill, paragraph 29; and Case C-88/03, Portugal v Commission, paragraph 54 and the case law cited.
Takto to bolo najmä v Európe, kde bolo ťažšie vysvetľovať zákazníkom, že spoločnosť Amazon nepredáva iba knihy.
Amazon illustrates this argument with reference to the tax rulings issued by Luxembourg and published by ICIJ.
Pozri výpoveď [Senior Vice President Product Management – Retail, Amazon Corporate LLC, US], 18. septembra 2014, s. 42, body 8 – 25, s. 43, body 1 – 14.
Among them Amazon identified 97 rulings, which, according to Amazon, are based on the residual profit split method and within financing arrangements allocate a non-unique return, i.e. fixed financial margin to a Luxembourg entity, while the residual profit is allocated to the holder of a financing instrument.
Výpoveď [Senior Vice President Product Management – Retail, Amazon Corporate LLC, US], 18. septembra 2014, s. 41, body 14 – 21: […]; výpoveď [viceprezident a riaditeľ so zodpovednosťou za nemecký trh v spoločnosti Amazon Deutschland Services GmbH, Mníchov, Nemecko], 13. júna 2014, s. 106, body 20 – 25, s. 107, body 2 – 9: […].
Amazon's submission of 5 March 2015, par.
Výpoveď [prvý viceprezident Business Development – Retail, Amazon Corporate LLC, US], 16. júla 2014, s. 117, body 1 – 7.
97.
Pozri odôvodnenie 132.
Amazon's submission of 18 January 2016, p. 6.
Zápisnica zo zasadnutia vedenia spoločnosti LuxOpCo z 9. apríla 2007.
Amazon's submission of 5 March 2015, par.
Zápisnice zo zasadnutia vedenia spoločnosti LuxOpCo z 12. apríla a 13. decembra 2010.
9.
Zápisnica zo zasadnutia vedenia spoločnosti LuxOpCo z 17. augusta 2010.
[Advisor 4], ‘Benchmark Company Search for European Management Companies for 2010-2012’, 5 February 2014.
Zápisnica zo zasadnutia vedenia spoločnosti LuxOpCo z 23. augusta 2010.
Annex 11 to Amazon's comments to the Opening Decision.
Zápisnica zo zasadnutia vedenia spoločnosti LuxOpCo z 22. júla 2011.
The tax advisor limited the search to following countries: Austria, Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, Netherlands, Portugal, Spain, Sweden and United Kingdom.
Zápisnice zo zasadnutí vedenia spoločnosti LuxOpCo z 21. augusta 2007 a z 12. októbra 2009.
Following keyword search terms were used: management services, business management consultancy services, strategic consulting services, organisational planning services and other related services.
Zápisnica zo zasadnutia vedenia spoločnosti LuxOpCo z 9. januára 2008.
At the same time, the tax advisor excluded companies, which provide unrelated services (such as auditing, actuarial, advertising, brokering, communication, construction, designing and developing, manufacturing, IT, real estate and transportation services), operated as partnerships, operated in a dissimilar industry (utility and energy) and had insufficient qualitative information).
Zápisnice zo zasadnutí vedenia spoločnosti LuxOpCo z 29. januára 2013 a z 29. januára 2014.
Total revenue minus total costs, where total costs equal total cost of goods sold plus total operating expense.
Okrem iného pozri najmä interný dokument spoločnosti Amazon: zápisnice zo zasadnutí vedenia spoločnosti LuxOpCo z 24. júla 2008, 18. marca 2010, 17. januára 2011 a 7. apríla 2011.
Amazon's submission of 5 March 2015, Annex 14: [Advisor 2], ‘[Advisor 2] roll-forward analysis’.
Dolná snemovňa (House of Commons) parlamentu Spojeného kráľovstva: ústne poskytnuté informácie pred Komisii účtov verejnej správy v pondelok 12. novembra 2012: svedecká výpoveď Cecila: „All the strategic functions for our business in Europe are based in Luxembourg.
Amazon refers to the France Telecom case (Commission Decision 2006/621/EC of 2 August 2004 on the State Aid implemented by France for France Télécom (OJ L 257, 20.9.2006, p. 11), paragraph 263, where the Commission refrained from recovery on the basis of novelty of the measure.
That could be our retail business, our third-party-business, our transportation teams, our customer service, HR, finance“.
EPICENTER describes itself as an independent initiative of six leading think tanks across the European Union.
Dostupné na tejto adrese: https://publications.parliament.uk/pa/cm201213/cmselect/cmpubacc/716/121112.htm.
It seeks to inform the EU policy debate and promote the principles of a free society by bringing together the economic expertise of its members.
Dolná snemovňa (House of Commons) parlamentu Spojeného kráľovstva: správa o účtoch za roky 2011 – 2012 daňovej a colnej správy Spojeného kráľovstva, HMRC – písomné doklady spoločnosti Amazon EU Sarl [LuxOpCo] od Andrewa Cecila, 13. november 2012: „Amazon EU Sarl [LuxOpCo] owns the inventory, earns the profits associated with the selling these products to end customers and bears the risk of any loss. From Luxembourg, Amazon EU Sarl processes and settles payments from its European customers.“ Dostupné na tejto adrese: https://publications.parliament.uk/pa/cm201213/cmselect/cmpubacc/writev/716/m03.htm.
Amazon's submission of 18 January 2016, p. 8.
Pozri obrázok 3 a odôvodnenie 180.
As provided in that submission ‘[..] it is highly unlikely that Lux SCS would have been able to find an independent entity capable or willing enter into a licensing agreement if doing so entailed that the business risk would be supported by that independent entity.
Dolná snemovňa (House of Commons) parlamentu Spojeného kráľovstva: správa o účtoch za roky 2011 – 2012 daňovej a colnej správy Spojeného kráľovstva, HMRC – písomné doklady spoločnosti Amazon EU Sarl od Andrewa Cecila, 13. november 2012: „Fulfilment and customer service centres located in the UK are operated by Amazon.co.uk Ltd, a UK company.
Accordingly, Lux SCS was ready to take the risks in relation to the Intangibles, so as to enable LuxOpCo to gain more easily market shares: in the longer term growing revenue for LuxOpCo would mean more revenue for Lux SCS, as licensor.
Amazon.co.uk Ltd earns a margin on its operating costs for providing services performed in the UK to group companies, primarily to Amazon EU Sarl.
In practical terms, this meant entering into a contractual agreement where the royalty methodology is based on the licensee's being profitable and earning a return on its costs, rather than an arrangement that would create a risk of the licensee being loss making’.
The services provided include fulfilment and logistics services; customer support services; accountancy, tax, legal, human resources, localisation and similar back office services; merchandising and marketing support services; and purchasing assistance.“ Dostupné na tejto adrese: https://publications.parliament.uk/pa/cm201213/cmselect/cmpubacc/writev/716/m03.htm.
Amazon's submission of 18 January 2016, p. 11.
Dolná snemovňa (House of Commons) parlamentu Spojeného kráľovstva: ústne poskytnuté údaje pred Komisii účtov verejnej správy v pondelok 12. novembra 2012: svedecká výpoveď Cecila: „The inventory of goods that are in our fulfilment centres across Europe belongs to Amazon EU Sarl [LuxOpCo] and does not belong to the local entities that we may have across Europe.“; „Amazon.co.uk is a service company in the UK providing services to Amazon EU Sarl [LuxOpCo] for which it receives payment.“ Dostupné na tejto adrese: https://publications.parliament.uk/pa/cm201213/cmselect/cmpubacc/716/121112.htm.
Amazon's submission of 18 January 2016.
Pozri aj: Dolná snemovňa (House of Commons) parlamentu Spojeného kráľovstva: správa o účtoch za roky 2011 – 2012 daňovej a colnej správy Spojeného kráľovstva, HMRC – písomné doklady spoločnosti Amazon EU Sarl [LuxOpCo] od Andrewa Cecila, 13. november 2012: „Fulfilment and customer service centres located in the UK are operated by Amazon.co.uk Ltd, a UK company.
As further explained by Amazon: ‘Considering those circumstances, it was indeed rational for both parties to agree on a remuneration on the basis that the risks were borne by the licensor and the licensee received a return on costs, as this would incentivize the licensee to grow as quickly as possible, both in terms of geographies and product lines, and to maximize selection (rather than concentrate only on higher margin product lines)’.
Amazon.co.uk Ltd earns a margin on its operating costs for providing services performed in the UK to group companies, primarily to Amazon EU Sarl [LuxOpCo].
TP Report, p. 50.
The services provided include fulfilment and logistics services; customer support services; accountancy, tax, legal, human resources, localisation and similar back office services; merchandising and marketing support services; and purchasing assistance.“ Dostupné na tejto adrese: https://publications.parliament.uk/pa/cm201213/cmselect/cmpubacc/writev/716/m03.htm.
Amazon's submission of 15 February 2016, Annex H.
Pozri oznámenie spoločnosti Amazon z 22. júla 2016 „Amazon's Technology-Centric E-tailing-Business“.
Amazon's submission of 15 February 2016, p. 4.
Vyjadrenie spoločnosti Amazon po procese, správa ex post o TC z roku 2017, s. 34, bod 91.
Companies Algoriel, Decade, Seresco SA and Societe de Gestion de Terminaux Informatiques.
Pozri výpoveď [riaditeľ/riaditeľka divízie International Tax and Tax Policy, Amazon Corporate LLC, Spojené štáty], 24. apríla 2014, s. 129, body 18– 25, s. 130, bod 2, 6 – 15: […].
Company Solutec.
Pozri výpoveď [riaditeľ/riaditeľka divízie International Tax and Tax Policy, Amazon Corporate LLC, Spojené štáty], 24. apríla 2014, s. 126, body 9 – 25, s. 127, 2 – 25, s. 129, body 2 – 5: […].
In Amazon's submission of 18 January 2016, p. 11, Amazon further explains that ‘[..] it was logical that the royalty contained a floor based on a percentage of royalties, which incentivized the licensee to maximize revenues (and share in the upside of doing so).
Pozri e-mail: od [Senior Vice President Product Management – Retail, Amazon Corporate LLC, US] zo dňa 16. júna 2008 (in: výpoveď [Vice President International Retail, Amazon Corporate LLC, US, former Head of European Retail Business, responsible for all retail operations in Europe, LuxOpCo, Luxemburg] – dokument 25): […]; výpoveď [viceprezident a riaditeľ so zodpovednosťou za nemecký trh v spoločnosti Amazon Deutschland Services GmbH, Mníchov, Nemecko], 13. júna 2014, s. 61, body 8 – 25, s. 62, bod 2: […]; a výpoveď [viceprezident a riaditeľ so zodpovednosťou za nemecký trh v spoločnosti Amazon Deutschland Services GmbH, Mníchov, Nemecko], 13. júna 2014, s. 32, body 14 – 25, s. 33, body 2 – 25, s. 34, body 2 – 12: […].
The corollary to that was a cap on the licensee's remuneration (based on a higher percentage of revenues) to ensure that the costs of the licensee were efficiently managed and did not increase too far out of line with revenue growth’.
Výpoveď [Senior Vice President Product Management – Retail, Amazon Corporate LLC, US], 18. septembra 2014, s. 41 – 106, body 1121 – 1525, s. 107, body 1 – 3: […].
See: http://www.amazon.com/Careers-Homepage/b?ie=UTF8&node=239364011.
Výpoveď [Vice President International Retail, Amazon Corporate LLC, US, former Head of European Retail Business, responsible for all retail operations in Europe, LuxOpCo, Luxemburg], 7. mája 2014, s. 163, bod 25, s. 164, body 1 – 8.
Amazon's submission of 22 July 2016: Amazon's Technology-Centric E-tailing-Business, p. 1.
Interný dokument spoločnosti Amazon: „Amazon Who Is Our Customer DE Customers Report May 2016“, s. 6.
As explained in this submission, p. 5, this calculation was made by [Advisor 1] in the 2017 ex post TP report.
Interný dokument spoločnosti Amazon: „Amazon Who Is Our Customer FR Customers Report June 2016“, s. 5.
GMS stands for Gross Merchandise Sales, which is total sales through Amazon's websites, i.e. sales in Amazon's own name and sales by third parties through Marketplace.
Pozri výpoveď [viceprezident a riaditeľ so zodpovednosťou za nemecký trh v spoločnosti Amazon Deutschland Services GmbH, Mníchov, Nemecko], 13. júna 2014, s. 227, body 10 – 12: […]; výpoveď [viceprezident a riaditeľ so zodpovednosťou za nemecký trh v spoločnosti Amazon Deutschland Services GmbH, Mníchov, Nemecko], 13. júna 2014, s. 228, body 2 – 8: […]; výpoveď [viceprezident a riaditeľ so zodpovednosťou za nemecký trh v spoločnosti Amazon Deutschland Services GmbH, Mníchov, Nemecko], 13. júna 2014, s. 228, body 9 – 21: […].
Amazon's submission of 29 May 2017: [Advisor 1] and [Advisor 1]: ‘Economic analysis of the Transfer Pricing approach adopted in the 2003 ATC’, 25 May 2017.
Amazon Final Transcripts: [viceprezident a riaditeľ so zodpovednosťou za nemecký trh v spoločnosti Amazon Deutschland Services GmbH, Mníchov, Nemecko], 5. novembra 2014, bod 1002: 2 – 12: „So even within a category, there is no magic key that you can just use to turn and everything works in the category.
TP Report, p. 25-28, a royalty within a range of [10-15] % to [10-15] %, was considered arm's length.
It's calling vendors. It's sitting down with the people.
2017 ex post TP-report, p. 12: ‘LuxOpCo's aggregate royalty payments to LuxSCS over the period under review are approximately [5-10] % of net sales (or [3-3,5] % of GMS).
The majority have local organizations. You need to convince them that this is a good thing in their local context, that you're going to drive sales and efficiencies, that you're going to not only cannibalize their business, but create incremental opportunity of growth for them.
This figure is well below the range of royalty rates indicated by the CUP analysis in the [Advisor 2] Report, which are based on the agreement between Amazon and [A] and include adjustments to account for other intangibles (customer referrals) licensed by LuxSCS to LuxOpCo but not made available by Amazon to [A].’
It's a very local game“.
2017 ex post TP Report, p. 13: ‘The tax court relied on Amazon's uncontrolled transactions with its M.com business partners for website technology, external trademark comparables for marketing intangibles, and Amazon's uncontrolled transactions for customer referral fees under the Associates and Syndicated Stores programs for customer information’.
Pozri e-mail:, ktorý poslal [viceprezident divízie „Finance“ spoločnosti Amazon Corporate LLC, Spojené štáty] [viceprezidentovi a finančnému riaditeľovi v spoločnosti Amazon Corporate LLC, Spojené štáty], 2. mája 2006: „Even though we've established Luxembourg as our European headquarters, we will continue to maintain our European country offices and operations facilities in their current locations throughout Europe.