Are International Tax Treaties Compatible with Controlled Foreign Corporation (CFC) Rules? A Technical and a Political History Approach for a Normative Result

2018 ◽  
Author(s):  
Charles Lincoln
Keyword(s):  
Political History ◽  
Tax Treaties ◽  
International Tax ◽  
History Approach ◽  
Foreign Corporation ◽  
Cfc Rules

Domestic Anti-Avoidance Legislation in Relation to Tax Treaty Law

2017 ◽  
Vol 6 (2) ◽  
pp. 312
Author(s):  
Shkumbin Asllani
Keyword(s):  
International Law ◽  
Tax Avoidance ◽  
International Taxation ◽  
Main Principle ◽  
Legal Practice ◽  
Tax Treaties ◽  
International Tax ◽  
Tax Payers ◽  
The Relationship ◽  
Domestic Law

In today’s international taxation most of the developing countries enter into tax treaties which are drafted in line with the OECD MC to eliminate double taxation. Yet, is well-known fact that tax treaties in practice are abused by tax payers, therefore, majority of states have introduce legislation specifically designed to prevent tax avoidance and protect their domestic interests. In legal practice and literature the act of overriding international tax treaties and denying treaty benefits in favour of domestic law provisions threatens main principle of international law and therefore is questionable to what extend the relationship between domestic law and international tax treaty agreements bridges the international norms.

2 Sources of the International Law of Taxation

2021 ◽  
Author(s):  
Hongler Peter
Keyword(s):  
International Law ◽  
Main Part ◽  
Soft Law ◽  
Tax Treaties ◽  
Tax System ◽  
Mutual Exchange ◽  
Customary International Law ◽  
System P ◽  
International Tax ◽  
Different Sources

Chapter 2 is the main part of the book and it is structured along the different sources of the international law of taxation. This includes (i) treaties, (ii) customary international law, (iii) general principles of international law, and (iv) soft law. The chapter contains a comprehensive outline of the functioning of double tax treaties and other treaties focusing on tax matters such as treaties on mutual exchange of taxpayer information. The entire OECD MC is discussed and reference is made to brief case studies in order to allow the reader a better understanding of the international tax regime. A particular focus is in on the functioning the allocation rules in Arts 6–22 OECD model convention, however, this chapter also includes general remarks on the interpretation of tax treaties and soft law used in international tax matters. The chapter closes with a concise overview of the EU tax system.

Global Governance, Tax Treaties, and Credible Commitments

World Affairs ◽  
2018 ◽  
Vol 181 (1) ◽  
pp. 69-98 ◽  
Author(s):  
Austin P. Johnson
Keyword(s):  
Global Governance ◽  
Tax Policy ◽  
Policy Instruments ◽  
Governance Structure ◽  
Gravity Models ◽  
Tax Treaties ◽  
Credible Commitments ◽  
Portfolio Holdings ◽  
International Tax ◽  
International Tax Policy

The international tax regime appears to be a weak system of global governance on the surface; however, I find that this system remains effective. This governance structure is built upon the thousands of tax treaties that function as policy instruments for advancing the implementation of global tax policy. Yet there is conflicting evidence in relation to the efficacy of these treaties, necessitating further exploration. In this article, I offer an accessible introduction to some of the key dynamics of the international tax regime and, in doing so, systematically address whether tax treaties may have the capacity to spur cross-border investment in securities. Using augmented gravity models, I find strong empirical evidence in favor of my theory that tax treaties function as credible commitments to international tax norms, potentially increasing portfolio holdings of some foreign securities. My findings should be of significant importance to scholars of international organizations, global governance, and international tax policy.

A Multilateral Tax Treaty for ASEAN ― Lessons from the Andean, Caribbean, Nordic and South Asian Nations

2011 ◽  
Vol 6 ◽  
pp. 1-23
Author(s):  
Sunita Jogarajan
Keyword(s):  
South Asian ◽  
Economic Community ◽  
Tax Treaties ◽  
Asean Member ◽  
The Creation ◽  
International Tax ◽  
Asean Economic Community

AbstractASEAN member countries recently reiterated and renewed their commitment to creating the ASEAN Economic Community. Tax has a role to play in facilitating the creation of the AEC and ASEAN member countries have committed to completing the intra-ASEAN network of bilateral tax treaties in pursuit of this goal. This paper suggests that instead of continuing with the monumental task of agreeing individual bilateral tax treaties, ASEAN member countries should learn from the experience of other regional blocs and conclude a multilateral tax treaty. The conclusion of a multilateral tax treaty would address the general problems associated with bilateral tax treaties, strengthen ASEAN's presence in international tax relations and symbolise ASEAN's commitment to the creation of the AEC.

scholarly journals PERKEMBANGAN CONTROL FOREIGN CORPORATION (CFC ) RULES DI INDONESIA DALAM UPAYA MENGAMANKAN PENERIMAAN NEGARA DARI SEKTOR PAJAK

2017 ◽  
Vol 5 (2) ◽  
Author(s):  
Ning Rahayu
Keyword(s):  
Tax Haven ◽  
Foreign Corporation ◽  
Cfc Rules

Globalisasi ekonomi telah memberikan dampak semakin meningkatnya transaksi internasional yang dilakukan oleh perusahaan-perusahaan multinasional . Dalam upaya mencapai laba yang optimal, perusahaanp perusahaan multinational tersebut melakukan berbagai upaya efisiensi, baik yang yang dilakukan dengan cara-cara yang legal maupun yang illegal.  Upaya tersebut adalah melakukan penghindaran pajak internasional. Salah satu bentuk penghindaran pajak yang dilakukan adalah melalui skema Control Foreign Corporation (CFC), yaitu upaya penghindaran pajak yang dilakukan dengan cara menunda pengakuan penghasilan dari modal yang bersumber dari luar negeri (khususnya di negara tax haven) untuk dikenakan pajak di dalam negeri. Praktik penghindaran pajak dengan skema ini dapat menggerus penerimaan negara dari sektor pajak. Bagi negara Indonesia yang menjadikan penerimaan pajak sebagai primadona penerimaan negara, hal ini merupakan acaman yang serius. Oleh karena itu untuk menangkal praktik penghindaran pajak ini negara Indonesia membuat CFC Rules. CFC Rules di Indonesia sudah beberapa kali diperbaharui dalam upaya menutup peluang-peluang penghindaran pajak tersebut sekaligus untuk mengamankan penerimaan negara dari sektor pajak.Kata kunci: penghindaran pajak, Control Foreign Corporation (CFC), CFC Rules

Latin American Opposition to Mandatory Arbitration in Tax Treaties

2021 ◽  
Vol 22 (3) ◽  
Author(s):  
Yariv Brauner
Keyword(s):  
Developing Countries ◽  
Dispute Resolution ◽  
Latin American ◽  
International Arbitration ◽  
Tax Treaties ◽  
International Tax ◽  
Dispute Resolution Mechanism ◽  
Latin American Countries

The international tax regime has recently made large strides toward a reform of its dispute resolution mechanism. Long-anticipated, mandatory tax treaty arbitration is finally gaining legitimacy beyond limited use by a few countries. Yet, the opposition to international arbitration among developing countries, led by Latin American countries, has not waned. This Article tracks this opposition to its origins and argues that it is misguided in the case of tax treaty arbitration, which such countries should rather generally support.

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