Open Access. Powered by Scholars. Published by Universities.®
Articles 1 - 3 of 3
Full-Text Articles in Law
The Troubling Role Of Tax Treaties, Kim Brooks, Richard Krever
The Troubling Role Of Tax Treaties, Kim Brooks, Richard Krever
Articles, Book Chapters, & Popular Press
The notional purpose of tax treaties is to prevent double taxation and tax evasion. The actual purpose is to reallocate taxing rights between an investor’s home jurisdiction (the residence state) and the host jurisdiction (the source state). The effect is to reduce or remove the taxing rights of a source state (a capital importing state) to leave more room for tax in the residence state (a capital exporting state). The revenue costs of agreeing to reduce taxing rights in a treaty are thought to be offset by other benefits. The benefits may be exaggerated. To the extent they may actually …
Direct Taxation, Tax Treaties And Iias: Mixed Objectives, Mixed Results, Martha O'Brien, Kim Brooks
Direct Taxation, Tax Treaties And Iias: Mixed Objectives, Mixed Results, Martha O'Brien, Kim Brooks
Articles, Book Chapters, & Popular Press
Tax treaties and international investment agreements (“IIAs”) have much in common. They share the same purpose of facilitating foreign direct investment (“FDI”), and they provide similar legal protections, such as prohibitions of discriminatory treatment of non-nationals and access to binding dispute resolution. Among other objectives, they are intended to reduce risk and create security and predictability, allowing investors to plan and carry out commercially viable activities under the protection of an international legal regime . In this sense, they both contribute to ensuring the sustainability of FDI and the legal regimes that support it. There are other similarities as well. …
Tax Sparing: A Needed Incentive For Foreign Investment In Low-Income Countries Or An Unnecessary Revenue Sacrifice?, Kim Brooks
Articles, Book Chapters, & Popular Press
Low income countries often offer tax incentives to induce foreign investment, but the effectiveness of these measures may he limited by the domestic tax practices of investors' high income home countries. Most high-income countries provide a tax credit for the amount of tax paid to a foreign jurisdiction on the international profits of resident companies or individuals. Where no tax, or reduced tax, is paid to the foreign jurisdiction because of a tax incentive, the result is that the investor pays the same amount of tax they would have paid in the absence of the tax incentive, but simply pays …