The first three days are dedicated to the fundamental concepts relevant to the interpretation and application of international tax treaties. This introduction provides participants with the conceptual tools to fully grasp issues discussed on Day 4 and Day 5. Day 4 deals with the principles of transfer pricing and how these principles apply to intra-group services. Day 5 provides an overview of basic tax planning structures and an insight into the application of the most common anti-avoidance provisions.

Day 1 - Basic principles of international tax law


08.30 - 09.00 Registration

09.00 - 09.20 Welcome and IBFD Overview

09.20 - 11.00 Introduction

- Role of comprehensive tax treaties
- Relationship between tax treaties, domestic law and EC law
- The format and structure of a tax treaty (OECD, UN and US Model Conventions)
- Scopes of tax treaties
- taxes
- persons
- territories covered
- Types of allocation rules in treaties

11.00 - 11.20 Break – Refreshments


11.20 - 12.45 Double Tax Relief Methods


- Double tax relief methods – Credit and Exemption
- Losses and double tax relief
- Limitations on relief
- Conditions for relief
- Tax sparing credits

12.45 - 14.00 Lunch

14.00 - 15.40 Residence

- The concept of residence
- individuals
- corporations
- US savings clause
- Treaty tiebreaker rules
- Dual residence issues

15.40 - 16.00 Break – Refreshments

16.00 - 17.00 Case Study


Day 2 – Double Taxation Convention focusing on the current version of the
OECD Model Tax Convention


09.00 - 10.40 Permanent Establishment Concept

- Basic rules for the PE Concept
- Auxiliary and preparatory activities
- Construction site PEs
- Agency PEs
- Service PEs
- E-commerce

10.40 - 11.00 Break – Refreshments

11.00 - 11.45 Permanent Establishment Concept (continued)

11.45 - 12.45 Case Study

12.45 - 14.00 Lunch

14.00 - 15.40 Employment Income

- Taxation of dependent personal services
- General rules
- International hiring-out of labour
- Directors' fees
- Artistes and sportsmen

15.40 - 16.00 Break – Refreshments

16.00 - 17.00 Case Study


Day 3 – Double Taxation Convention focusing on the current version of the
OECD Model Tax Convention


09.00 - 10.40 Profits of an Enterprise

- Article 7 OECD MTC
- Determination of business profits
- Arm's length principle
- Allocation of expenses
- Further developments
- Article 8 OECD MTC
- Case Study

10.40 - 11.00 Break – Refreshments

11.00 - 11.45 Profits of an Enterprise (continued)

11.45 - 12.45 Passive Income

- Income from immovable property
- Dividends, interest, royalties
- Beneficial ownership
- Capital gains
- Article 21 OECD MTC

12.45 - 14.00 Lunch

14.00 - 15.40 Passive Income (continued)
(Carlos Gutiérrez)

15.40 - 16.00 Break – Refreshments

16.00 - 17.00 Case Study


Day 4 – Transfer Pricing


09.00 - 10.30 Introduction to Transfer Pricing


- Significance of transfer pricing
- Legal Framework
- Associated Enterprises
- Arm's length principle
- Comparability
- Documentation
- Advanced Pricing Agreements
- Latest developments

10.30 - 10.50 Break – Refreshments

10.50 - 12.45 Introduction to Transfer Pricing (continued)

- Transfer pricing methodologies
-Comparable Uncontrolled Price (CUP)
-Cost-Plus method
-Resale Price method
-Profit Split method
-Transactional Net Margin Method (TNMM)
-Other methods
- Case Study

12.45 - 14.00 Lunch

14.00 - 15.40 Intra-Group Services

- Introduction
- Identification of Intra-group services
- Transfer pricing methods
- Service charge computation

15.40 - 16.00 Break – Refreshments

16.00 - 17.00 Case Study


Day 5 – Double Tax Treaties and International Tax Avoidance


09.00 - 10.30 Non Discrimination and Triangular Cases

- Article 24 OECD MTC
- Triangular cases involving PE and dual resident companies

10.30 - 10.50 Break – Refreshments

10.50 - 12.45 Basic Tax Planning Schemes

- Holding companies, hybrid entities and hybrid financial instruments
- Debt push-down and acquisition financing
- Double dips
- Withholding tax planning
- Financing structures

12.45 - 14.00 Lunch

14.00 - 15.20 Basic Tax Planning Schemes (continued)

15.20 - 15.40 Break – Refreshments

15.40 - 17.00 Anti - Avoidance Rules

- GAAR
- Controlled Foreign Companies
- Anti-tax havens provisions
- LOB

Tomas Balco, PriceWaterhouseCoopers, Kazhakstan
Richard Resch, IBFD, the Netherlands
Andreas Perdelwitz, IBFD, the Netherlands
Carlos Gutiérrez, IBFD, the Netherlands
Joel Cooper, IBFD, the Netherlands
Shee Boon Law, IBFD, the Netherlands
Marcello Distaso, Baker & McKenzie, the Netherlands
Paul Halprin, Baker & McKenzie, the Netherlands