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International Tax Quiz (ITQ)

Tax treaty series

Go to GloBE rules series

 

Abbreviations and acronyms

​

* [YEAR]OECD = OECD model double tax treaty
* [YEAR]UN = UN model double tax treaty
* [YEAR]USMODEL = US model double tax treaty
* TPG = OECD Transfer Pricing Guidelines
* POEM = Place of effective management
* MLI = BEPS Multilateral Instrument
* PPT = Principal purpose test
* Comm = Commentary
* AOA = Authorised OECD Approach
* POAC = Preparatory or auxiliary character

 

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Numbering system

There are currently more than 240 ITQs. They are arranged in 2 series:

  • GloBE rules series (ITQ G-001, ITQ G-002, etc.)

  • Tax treaty series (ITQ T-001, ITQ T-002, etc.)

ITQ  T-

101

Key issues:

  • 2017UN

  • Art. 13(5)

  • Actual loss, deemed gain

  • Indonesia

  • Art. 2

  • Tax on income vs. tax on capital

  • Art. 22

More

Date Uploaded:

September 10, 2021

ITQ  T-

099

Key issues:

  • 2011UN

  • “subject to tax”

  • Art. 12

  • Royalties

  • Weiser case

  • 12 scenarios

More

Date Uploaded:

August 27, 2021

ITQ  T-

097

Key issues:

  • 2017OECD

  • 2017UN

  • Art. 5(3)(b), “for the same or a connected project” deleted

  • Art. 5(1), time test

  • “royalties”

  • Art. 12(5), 2017UN, “arises”

  • Art. 7 vs. Art. 21(3)

  • “enterprise”

  • “arises” in Art. 21(3)

  • Triangular

More

Date Uploaded:

August 6, 2021

ITQ  T-

095

Key issues:

  • 2017OECD

  • Art. 24(1), Art. 24(6)

  • Definition of “national” in Art. 3(1)

  • Definition of “taxes covered” in Art. 2

  • Seller’s stamp duty

  • Taxpayer has no assets in source country

  • Enforcement of tax in source country

  • Art. 27

  • Force of law for treaty

More

Date Uploaded:

July 23, 2021

ITQ  T-

093

Key issues:

  • 2017OECD

  • Unilateral APA, roll-back

  • Royalties, deduction of royalties in source country, royalty withholding tax in source country not covered by APA

  • Art. 12(4), 2nd sentence, “due regard being had to the other provisions of this Convention”

  • Art. 9(1), Art. 9(2), Art. 25, MAP

  • Secondary TP adjustment, deemed dividend, deemed interest-bearing loan

  • Foreign tax credit

More

Date Uploaded:

July 2, 2021

ITQ  T-

091

Key issues:

  • 2017OECD

  • Art. 5(5) & Art. 5(6)

  • Art. 10(5)

  • Dividend-paying company is non-resident

  • Art. 1

  • In taxing country, profits of dividend-paying company are deemed sourced on a formulaic basis

  • In taxing country, no PE of dividend-paying company

  • Madeira & Neves, “Exploring the boundaries of the application of Article 10(5) of the OECD Model” (Intertax)

  • See also ITQ 012

  • Triangular

More

Date Uploaded:

June 18, 2021

ITQ  T-

100

Key issues:

  • 2011UN

  • Art. 9(2)

  • Art. 9(3)

  • “gross negligence” penalty

  • Transfer pricing adjustment

  • Corresponding adjustment

  • Art. 23

More

Date Uploaded:

September 3, 2021

ITQ  T-

098

Key issues:

  • 2014OECD

  • Payroll tax

  • Art. 2

  • Art. 2(2)

  • Covered taxes

  • Art. 24(1)

  • PE

  • Art. 5(4)(d)

  • “in the same circumstances”, Art. 24(1)

  • Michael Lang

More

Date Uploaded:

August 13, 2021

ITQ  T-

096

Key issues:

  • 2017UN

  • “alienation”, Art. 13

  • Forfeited deposit for sale contract which was not entered into

  • Art. 13(4), land-rich company

  • Art. 21(3) vs. Art. 7

  • “enterprise”

  • “arises” in Art. 21(3)

  • Art. 6

More

Date Uploaded:

July 30, 2021

ITQ  T-

094

Key issues:

  • 2017UN

  • Depositary Receipts

  • Art. 10, definition of “dividend”

  • Art. 7

  • Art. 21(3)

  • Mutuality

  • Beneficial ownership

  • Art. 23A/B, double foreign tax credit

  • Dividend equivalent payment

More

Date Uploaded:

July 16, 2021

ITQ  T-

092

Key issues:

  • 2017UN

  • Triangular

  • Art. 13(4) – land-rich

  • Art. 13(5)

  • Double foreign tax, double foreign tax credit

  • Art. 23B

More

Date Uploaded:

June 25, 2021

ITQ  T-

090

Key issues:

  • 2017UN

  • Art. 12A

  • Art. 5(1), time test, recurrence principle

  • Art. 5(3)(a)

  • Supervisory activities

  • Art. 5(3)(b)

  • Interaction between Art. 5(1), Art. 5(3)(a) & Art. 5(3)(b): does any provision exclude the other 2? No – for Art. 5(3)(a) vs. Art. 5(3)(b), see 2017 OECD Comm, para 147

  • Amendment of Art. 5(3)(b) in 2017UN: removal of “same or connected project” condition

  • Art. 5(3)(b): measurement of time – actual days of work – weekends, public holidays, sick days – remember comments in OECD Comm

More

Date Uploaded:

June 11, 2021

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