Taxation-Transnational Commons^™

Toward A 21st-Century International Tax Regime, Reuven S. Avi-Yonah, Kimberly A. Clausing

Articles

The international tax regime is almost a century old, and it is showing its age. In recent decades, the regime could be maintained despite increasing evidence that some of its key components, such as the arm’s-length standard or permanent establishment threshold, were unfit for a 21st-century economy. However, starting with the U.K. diverted profits tax (2015), Australia’s multinational anti-tax-avoidance law (2015), and India’s equalization levy (2016), it has become clear that many countries are unwilling to live with a situation in which large U.S. technology companies (such as Amazon, Apple, Facebook, Google, and Netflix) earn billions in profits by exploiting …

The Superiority Of The Digital Service Tax Over Significant Digital Presence Proposals, Wei Cui

All Faculty Publications

Responding to calls for reallocating taxing rights over multinationals’ profits to reflect the place of user value creation, the OECD recently announced a Program of Work to implement international tax reform. I use the European Commission’s 2018 proposal to introduce the “significant digital presence” concept into income tax treaties as an example of the type of approach the OECD favors, and argue that it is inferior to recently proposed digital services taxes (DSTs). DSTs directly address the question of where profits should be allocated and taxed, while SDP proposals subordinate this vital question to superfluous treaty conventions. Global tax coordination …

Stabilizing “Pillar One”: Corporate Profit Reallocation In An Uncertain Environment, Itai Grinberg

Georgetown Law Faculty Publications and Other Works

This paper is about how the world reestablishes international tax order.

The paper focuses on the OECD’s work on profit reallocation and asks whether this multilateral effort can be successful in stabilizing the international tax system. The analysis centers on the current leading concepts for reallocating profit among jurisdictions under what is known as “Pillar One” of the OECD work programme. To analyze whether any Pillar One concept can be turned into a stable multilateral regime, it is necessary to specify certain elements of what a proposal to reallocate profits might entail. Accordingly, this paper sets out two strawman proposals. …

India's New Profit Attribution Proposal And The Arm's-Length Standard, Reuven S. Avi-Yonah, Ajitesh Kir

Articles

A recent Indian public consultation document on amending India’s rules for profit attribution to permanent establishments represents the first time a national government has proposed abandoning the arm’s-length standard. In this article, the authors discuss that document, as well as the OECD’s recent consideration of using formulas to allocate profits to market jurisdictions, and they ponder whether those developments indicate a larger movement away from the arm’s-length standard in favor of a unitary tax system.

Amazon Goldcrest Project And The Relevance Of Comparability Analysis Under The Arm's Length Principle, Reuven S. Avi-Yonah

Articles

The arm’s length principle, which has long been the guiding rule in the area of transfer pricing, in recent years is increasingly challenged. One of the focus points of discussion is the comparability analysis of intra-group and independent transactions. Especially intangibles do not lend themselves to such analysis, because they are unique in a way that does not match with existent market equilibria. The analysis of the Amazon case in this article reflects this argument.

United States Policy And The Taxation Of International Intangible Income, Stanley I. Langbein

University of Miami Inter-American Law Review

No abstract provided.

Inter Vivos Transfers Of Ownership In Family Firms, James R. Hines Jr., Niklas Potrafke, Marina Riem, Christoph Schinke

Articles

This paper examines the determinants of inter vivos (lifetime) transfers of ownership in German family firms between 2000 and 2013. Survey evidence indicates that owners of firms with strong current business conditions transfer ownership at higher rates than others. When a firm’s self-described business condition improves from “normal” to “good,” the relative likelihood of an inter vivos transfer increases by 46 percent. Inter vivos transfer rates also rose following a 2009 reform that reduced transfer taxes. These patterns suggest that transfer taxes significantly influence rates and timing of inter vivos ownership transfers.

International Taxation In An Era Of Digital Disruption: Analyzing The Current Debate, Itai Grinberg

Georgetown Law Faculty Publications and Other Works

The “taxation of the digital economy” is currently at the top of the global international tax policymaking agenda. A core claim some European governments are advancing is that user data or user participation in the digital economy justifies a gross tax on digital receipts, new profit attribution criteria, or a special formulary apportionment factor in a future formulary regime targeted specifically at the “digital economy.” Just a couple years ago the OECD undertook an evaluation of whether the digital economy can (or should) be “ring-fenced” as part of the BEPS project, and concluded that it neither can be nor should …

Given Today's New Wave Of Protectionsim, Is Antitrust Law The Last Hope For Preserving A Free Global Economy Or Another Nail In Free Trade's Coffin?, Allison Murray

Loyola of Los Angeles International and Comparative Law Review

No abstract provided.

Taxation Of Cryptocurrency Hard Forks, Rachana Khandelwal

The Contemporary Tax Journal

No abstract provided.

The Contemporary Tax Journal’S Interview With Eileen Marshall, Rani Vaishnavi Kothapalli

The Contemporary Tax Journal

No abstract provided.

Tax Treaties And Special Considerations For Unemployment Income, Foreign Students, And Academic Employees, Inna Ostrovsky

The Contemporary Tax Journal

No abstract provided.

The Contemporary Tax Journal Volume 8, No. 1 – Winter 2019

The Contemporary Tax Journal

No abstract provided.

Table Of Contents, Seattle University Law Review

Seattle University Law Review

No abstract provided.

The Games They Will Play: Tax Games, Roadblocks, And Glitches Under The 2017 Tax Legislation, David Kamin, David Gamage, Ari Glogower, Rebecca Kysar, Darien Shanske, Reuven S. Avi-Yonah, Lily Batchelder, J. Clifton Fleming, Daniel Hemel, Mitchell Kane, David Miller, Daniel Shaviro, Manoj Viswanathan

Articles

The 2017 tax legislation brought sweeping changes to the rules for taxing individuals and business, the deductibility of state and local taxes, and the international tax regime. The complex legislation was drafted and passed through a rushed and secretive process intended to limit public comment on one of the most consequential pieces of domestic policy enacted in recent history. This Article is an effort to supply the analysis and deliberation that should have accompanied the bill’s consideration and passage, and describes key problem areas in the new legislation. Many of the new changes fundamentally undermine the integrity of the tax …

Beps, Atap And The New Tax Dialogue: A Transatlantic Competition?, Reuven S. Avi-Yonah, Gianluca Mazzoni

Book Chapters

The Tax Cuts and Jobs Act (TRA17) signed into law by President Trump on 22 December 2017 contains multiple provisions that incorporate the principles of the OECD/G20 Base Erosion and Profit Shifting Action Plan (BEPS) into domestic US tax law. Together with the changes in the 2016 US Model Tax Treaty, 1 these provisions mean that the United States is following the European Union in implementing BEPS and particularly its underlying principle, the single tax principle (all income should be subject to tax once at the rate derived from the benefits principle, i.e., active income at a minimum source tax …

Regulating Offshore Finance, William J. Moon

Faculty Scholarship

From the Panama Papers to the Paradise Papers, massive document leaks in recent years have exposed trillions of dollars hidden in small offshore jurisdictions. Attracting foreign capital with low tax rates and environments of secrecy, a growing number of offshore jurisdictions have emerged as major financial havens hosting thousands of hedge funds, trusts, banks, and insurance companies.

While the prevailing account has examined offshore financial havens as “tax havens” that facilitate the evasion or avoidance of domestic tax, this Article uncovers how offshore jurisdictions enable corporations to evade domestic regulatory law. Specifically, recent U.S. Supreme Court cases restricting the geographic …

Understanding International Tax Avoidance And Tax Evasion Post-Tcja, 53 Uic J. Marshall L. Rev. 975 (2019), Jennifer Waclawik

UIC Law Review

No abstract provided.

Why The Mli Will Have Limited Direct Impact On Base Erosion Profit Sharing, Joseph Morley

Northwestern Journal of International Law & Business

No abstract provided.

Commission V. Belgium: Belgium's Tax Law Prevents Free Movement Of Capital, John Gramlich

The International Lawyer

No abstract provided.