It examines the sources of international tax law, how those sources of law fit together, and what the main current issues of international tax law are. The concepts and principles of international tax law are further applied to the practice of business structures and planning. The course includes many case study sessions to ensure that the concepts discussed within the course are well understood from a practical perspective.

The aim of the course is to make the participants aware of the wide range of tax issues that have to be addressed in practice, and also to provide the participants with an overview of a large number of selected areas of taxation such as Value-Added-Tax, EC tax law and transfer pricing.

Participants will acquire a structured understanding of the concepts and principles of international tax law, and to selected issues relevant for the business practice. They will learn to identify issues when dealing with international tax situations, the questions to ask, the different approaches of national tax systems to the most important issues and how to apply double taxation treaties in practice. Perhaps most importantly, participants will see the whole framework of international tax law, so that they have the background knowledge and confidence to pursue specific enquiries independently.

Day 1

08.30 - 09.00 Registration

09.00 - 09.30 Welcome and IBFD Overview

09.30 - 10.40 Introduction

National Tax Systems
• Characteristics of various taxes, typical national tax structures, considerations in the design of a national tax system, connecting factors for the levy of taxes (residence, domicile, nationality, source)
• Source-based taxation, territorial systems
• Domestic statute law and case law
• Treaties, model treaties and commentaries, OECD reports
• European Union and European Court of Justice
• Literature: principal textbooks and periodicals

Role of Treaties
• Structure and effect of comprehensive income tax treaties
• Application of tax treaties
• Issues in treaty interpretation

10.40 - 11.00 Break – Refreshments

11.00 - 12.45 Introduction (continued)

12.45 - 14.00 Lunch

14.00 - 15.30 Introduction (continued)

15.30 – 15.50 Break – Refreshments

15.50 - 17.00 Case Studies

17.00 - 18.30 Welcome Drinks



Day 2

09.00 - 10.30 Residence and Emigration/Immigration

• National residence definitions for individuals and companies
• Dual residence, tiebreaker clauses, residence for treaty purposes
• Exit taxes, extended residence after emigration
• US savings clause

10.30 - 10.50 Break – Refreshments (Library presentation)

10.50 - 12.00 Residence and Emigration/Immigration (continued)

12.00 - 12.45 Double Tax Relief

• Double tax relief mechanisms
(Deduction, Exemption, Credit)
• Losses and double tax relief
• Limitations on relief
• Conditions for relief
• Tax sparing, matching credit provisions

12.45 - 14.00 Lunch

14.00 - 15.30 Double Tax Relief (continued)

15.30 - 15.50 Break – Refreshments

15.50 - 17.00 Case Studies

Day 3

09.00 - 10.40 The Permanent Establishment Concept

• Basic OECD rule on Permanent Establishment Concept
• Building site and agency PEs
• Service PEs
• Auxiliary activities
• E-commerce and PEs
• UN Model
• Case studies

10.40 - 11.00 Break – Refreshments

11.00 - 12.45 The Permanent Establishment Concept (continued)

12.45 - 14.00 Lunch

14.00 - 15.30 The Permanent Establishment Concept (continued)

15.30 - 15.50 Break – Refreshments

15.50 - 17.00 The Permanent Establishment Concept (continued)

Day 4

09.00 - 10.30 Passive Income

• Income from immovable property
• Dividends, Interest, Royalties
• Imputation and classical systems
• Inter-Corporate dividends, participation exemption
• Beneficial ownership
• Capital gains
• Article 21 OECD MTC

10.30 - 10.50 Break – Refreshments

10.50 - 12.45 Passive Income

12.45 - 14.00 Lunch

14.00 - 15.40 Non-Discrimination and Triangular Cases

• Article 24 OECD MTC
• Triangular cases involving PE

15.40 – 16.00 Break – Refreshments

16.00 - 17.00 Case Studies

Day 5

09.00 - 10.40 Employment Income

• Issues with taxation of employment income
(PAYE, type of income)
• Art. 15 OECD Model – basic rule
• 183-day rule, anti-avoidance
• Secondments, corporate trainees
• Definition of employment income
• Stock options - domestic treatment vs treaty relief
• Directors’ fees - from UN to OECD to US Model
• Artistes and sportsmen
• Students, employment income while a student
• Pensions

10.40 - 11.00 Break – Refreshments

11.00 - 12.00 Employment Income (continued)

12.00 - 13.00 Case Studies

Day 6

09.00 - 10.30 Transfer Pricing - The Legal Framework

• The importance of transfer pricing
• Domestic transfer pricing rules
• Article 9 of the OECD and UN MTCs
• Associated enterprises
• The arm’s length principle
• The OECD Transfer Pricing Guidelines for Multinational Enterprises

10.30 - 10.50 Break – Refreshments

10.50 - 12.45 Transfer Pricing Methodologies

• Identification and classification of associated party dealings
• Comparability analysis
• Undertaking a functional analysis
• OECD Transfer Pricing Methods
• Selection and application of transfer pricing methodologies
• Practical examples/case studies

12.45 - 14.00 Lunch

14.00 - 15.00 Transfer Pricing Methodologies (continued)

15.00 - 15.20 Break – Refreshments

15.20 - 17.00 Case Studies

Day 7

09.00 - 10.40 Profit Allocation to Permanent Establishments

• Allocation of assets and profits
• Financing a Permanent Establishment
• Head office – Permanent Establishment transactions
• Foreign exchange results

10.40 - 11.00 Break – Refreshments (ITA Online presentation)

11.00 - 12.45 Profit Allocation to Permanent Establishments (continued)

12.45 - 14.00 Lunch

14.00 - 15.30 Case Studies

15.30 - 15.50 Break – Refreshments

15.50 - 17.00 Case Studies (continued)


Day 8

09.00 - 10.40 European VAT

• General introduction to the VAT system
• Who must pay VAT
• When and where is VAT due
• Exemptions
• VAT aspects of international trade

10.40 - 11.00 Break – Refreshments

11.00 - 12.45 European VAT (continued)

12.45 - 14.00 Lunch

14.00 - 15.40 EC Tax Law Aspects

• EC tax law and its effect on domestic tax law
• Non-discrimination and the EC Treaty
• EC Directives
• Tax law harmonization
• Drive against harmful tax competition

15.40 - 16.00 Break – Refreshments

16.00 - 17.00 EC Tax Law Aspects (continued)

Day 9

09.00 - 10.40 Business Structures and Planning

• Introduction to entity selection
- Entity selection
- Business entities
- US Check-the-box election
• Hybrids
• Group taxation systems
• Losses
• Holding companies

10.40 - 11.00 Break – Refreshments

11.00 - 12.45 Business Structures and Planning (continued)

12.45 - 14.00 Lunch

14.00 - 15.40 Anti-avoidance rules

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

15.30 - 15.50 Break – Refreshments

15.50 - 17.00 Case Studies

17.00 - 17.15 Overview of Academic Activities

17.15 - 18.30 Farewell Drinks

Day 10

09.00 - 10.30 Treaty Review

10.30 - 10.50 Break – Refreshments

10.50 - 13.00 Case Studies

Harry Tonino, Luis Nouel, Shee Boon Law, Roberto Bernales, Andreas Perdelwitz, Belema Obuoforibo, Carlos Gutierrez, Tigran Mkrtchyan, Emanuela Santoro, Joel Cooper, Walter van der Corput, Fabiola Annacondia (IBFD, the Netherlands)