INTERNATIONAL TAXATION
REVIEWED QUESTIONS AND THEIR
CORRECT ANSWERS
What are main goals of tax planning?
- tax burden optimization (to diminish or defer tax liability)
- minimize the incidence of double taxation
- reduce potential future years tax liabiliites
- maximize the tax saving from allowable deductions and
tax credits
- avoid penalties for underpayment of estimated taxes
What are some strategies in international taxation
planning?
- Taking advantage of legal loopholes and lack of
coordination between different tax jurisdictions
- the use of favourable net of tax agreements
- the use of a favorable net of tax agreements
- the use of advantages fiscal schemes offered by tax
jurisdiction to attract investment (holding structures, patent
box, tax rulings)
What are the key aspects of international tax
planning?
- flexible investment structures
- reliable tax regimes and jurisdictions
- reasonable maintenance costs related to the objectives
desired.
What are the key aspects of tax planning?
,-Flexible investment structures
-Reliable tax regimes and jurisdictions
-Reasonable maintenance costs related to the objectives
desired
What are tax havens?
is a country which provides a no-tax or low-tax
environment
- abnormally low corporate income tax rates (or no
corporate income tax at all) that companies and
individuals have found useful in minimizing their worldwide
income taxes.
What are the different lists and features of tax
havens? (national, OECD, TJB, EU) unofficial tax
havens
OECD( Organization for economic co-operation and
development)
- This focus is on improving transparency and combating
tax evasion.
-Identifies jurisdictions that are non-compliant with
international standards on transparency and exchange of
information for tax purposes.
EU(European Union)
- has it own lists of cooperative tax jurisdictions commonly
know as the EU tax haven blacklist.
-Jurisdictions on this list are assessed based on criteria
such as tax transparency, fair taxation, and compliance
with anti-BEPS (Base Erosion and Profit Shifting)
measures.
TJN (Tax Justice Network)
, -published the financial secrecy index, which ranks
jurisdiction s based on the level of financial secrecy they
provide.
Unofficial assessments
-investigative journalists may conduct their own
assessments of tax havens based on different criteria.
What are the financial secrecy vs leaks information?
(lux leaks, faclciani's list) and TIESAS?
LuxLeaks:
LuxLeaks refers to the release of confidential documents
revealing tax rulings and agreements between
multinational corporations and the Luxembourg
government. These documents were leaked by
whistleblowers to investigative journalists.
Hervé Falciani's List:
Hervé Falciani, a former employee of HSBC, leaked a list
of account holders and associated financial information
from HSBC's Swiss subsidiary. The information revealed
widespread tax evasion and the use of Swiss bank
accounts for illegal purposes.
TIESAS (Tribunal de Justicia de la Unión Europea - Court
of Justice of the European Union):
The Court of Justice of the European Union, known as
TIESAS in Spanish, is an institution of the EU responsible
for ensuring the uniform interpretation and application of
EU law.
What are the key Anti ML rules: KYC (know your
costumer), PEP's (political exposed people), cash
limitations?
REVIEWED QUESTIONS AND THEIR
CORRECT ANSWERS
What are main goals of tax planning?
- tax burden optimization (to diminish or defer tax liability)
- minimize the incidence of double taxation
- reduce potential future years tax liabiliites
- maximize the tax saving from allowable deductions and
tax credits
- avoid penalties for underpayment of estimated taxes
What are some strategies in international taxation
planning?
- Taking advantage of legal loopholes and lack of
coordination between different tax jurisdictions
- the use of favourable net of tax agreements
- the use of a favorable net of tax agreements
- the use of advantages fiscal schemes offered by tax
jurisdiction to attract investment (holding structures, patent
box, tax rulings)
What are the key aspects of international tax
planning?
- flexible investment structures
- reliable tax regimes and jurisdictions
- reasonable maintenance costs related to the objectives
desired.
What are the key aspects of tax planning?
,-Flexible investment structures
-Reliable tax regimes and jurisdictions
-Reasonable maintenance costs related to the objectives
desired
What are tax havens?
is a country which provides a no-tax or low-tax
environment
- abnormally low corporate income tax rates (or no
corporate income tax at all) that companies and
individuals have found useful in minimizing their worldwide
income taxes.
What are the different lists and features of tax
havens? (national, OECD, TJB, EU) unofficial tax
havens
OECD( Organization for economic co-operation and
development)
- This focus is on improving transparency and combating
tax evasion.
-Identifies jurisdictions that are non-compliant with
international standards on transparency and exchange of
information for tax purposes.
EU(European Union)
- has it own lists of cooperative tax jurisdictions commonly
know as the EU tax haven blacklist.
-Jurisdictions on this list are assessed based on criteria
such as tax transparency, fair taxation, and compliance
with anti-BEPS (Base Erosion and Profit Shifting)
measures.
TJN (Tax Justice Network)
, -published the financial secrecy index, which ranks
jurisdiction s based on the level of financial secrecy they
provide.
Unofficial assessments
-investigative journalists may conduct their own
assessments of tax havens based on different criteria.
What are the financial secrecy vs leaks information?
(lux leaks, faclciani's list) and TIESAS?
LuxLeaks:
LuxLeaks refers to the release of confidential documents
revealing tax rulings and agreements between
multinational corporations and the Luxembourg
government. These documents were leaked by
whistleblowers to investigative journalists.
Hervé Falciani's List:
Hervé Falciani, a former employee of HSBC, leaked a list
of account holders and associated financial information
from HSBC's Swiss subsidiary. The information revealed
widespread tax evasion and the use of Swiss bank
accounts for illegal purposes.
TIESAS (Tribunal de Justicia de la Unión Europea - Court
of Justice of the European Union):
The Court of Justice of the European Union, known as
TIESAS in Spanish, is an institution of the EU responsible
for ensuring the uniform interpretation and application of
EU law.
What are the key Anti ML rules: KYC (know your
costumer), PEP's (political exposed people), cash
limitations?
