UnscheduledBEPS Country Implementation - MLI and beyond
- BEPS Country Implementation - MLI and beyond
Overview and learning objectives
On 5 October 2015, the OECD published the Final Reports of its 15-point Base Erosion and Profit Shifting (BEPS) project. A bit more than a year later, on 25 November 2016, more than 100 countries agreed on the compromise text of the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (hereafter Multilateral Instrument or MLI) that is designed to transpose the BEPS amendments into more than 2,000 double tax treaties. Prior to this, in May 2016, the OECD Council approved the changes to the OECD Transfer Pricing Guidelines (TPG). The two latter acts officially marked the beginning of the implementation phase of the BEPS Project. On 7 June 2017, 76 countries and jurisdictions signed or formally expressed their intention to sign the MLI. In January 2019, 86 countries and jurisdictions had signed the MLI. Many of these countries and jurisdictions are in the process of ratifying the MLI and of determining their final positions. Therefore, 2019 is an important year for the implementation of the BEPS package.
This 2-day, intermediate-level course intends to give you not only an overview of the BEPS implications, but also a look at how countries, governmental bodies and international organizations implement BEPS outcomes in their domestic legal and tax systems, political frameworks and day-to-day operations.
The course will kick off with a global update on the BEPS Project and the outcome of each Action point. Legislative examples, recently signed, BEPS-compliant tax treaties and case law on which BEPS has made an impact will be discussed to showcase the challenges taxpayers will face, as well as the wide range of anti-avoidance tools tax administrations have at their disposal as a result of the BEPS project. Subsequently, the course will pay significant attention to the MLI, including the list of signatories, the covered tax treaties, the alternatives texts, provisions concerned, and the reservations made about its provisions. The modus operandi of the MLI as well as the legal and procedural problems it creates will also be examined. To give course participants the full picture of the post-BEPS tax world, a separate session will be dedicated to unilateral measures adopted by selected countries (e.g. Australia, China, India, the United Kingdom, the United States) which relate to the BEPS initiative, explaining their relevance and the challenges and opportunities they create.
On the second day of the course, the focus will be steered towards transfer pricing (TP). Ample attention will be paid to the most important BEPS TP implications. These implications include the new, six-step analytical framework of control, management and mitigation of risks, the new definition of intangibles, the role of DEMPE functions, the impact of BEPS on financing companies, the new provisions on services and commodity transactions, and the improved documentation requirements (e.g. country-by-country reporting (CbCR)). The course participants will have the opportunity to investigate how countries adopt the amendments to the OECD TPG into their domestic law and how the different implementation practices affect MNEs operating in multiple jurisdictions.
The course will continue with a session on the latest developments in the European Union, where the BEPS Project has propelled several important changes to the existing system of tax directives (Parent-Subsidiary Directive and Administrative Cooperation Directive). Moreover, it has given rise to the new Anti-Tax Avoidance Directive (e.g. compulsory, domestic law exit tax, controlled foreign company (CFC) rules, thin cap rules, hybrid rules and the principal purpose test ) and a proposal for a directive on mandatory, binding arbitration has led to changes to the current EU VAT system and amendments to the existing IP box regimes. How the myriad of measures will affect existing structures in the European Union, how they fit into the constitutional and domestic tax systems of EU Member States and how they compare to the OECD BEPS package will be thoroughly looked at.
Throughout the different sessions, special attention will be paid to implementation deadlines, legal challenges of potentially retroactive measures, transitory provisions and grandfathering clauses to help practitioners understand the procedural issues surrounding BEPS.
This is an interactive course; therefore, participation is limited to a maximum of 32 participants. Prior to the course, participants will be given access to an online platform that provides them with additional reading material (e.g. legal documentation, case law and related articles/literature).
Field of studyTaxes
Who should attend?
The course is suitable for practitioners in tax advisory firms, tax specialists in commerce and industry, and government officials.
Course level and prerequisitesThis is an intermediate-level course. Participants will be expected to have a basic knowledge of the tax system of at least one country.
Pre-course preparationIn order to participate in this particular course, no advance preparation is necessary. Participants will have access to relevant online collections on the IBFD Tax Research Platform for a period of two weeks from the start of the course.
Interactive course - "Group Live"To safeguard the interactive nature of the course, including group discussions and case studies, a maximum of 32 participants will be accepted. Early registration is therefore recommended.We invite you to send us in advance any technical, content-related questions you may have. During the course we will try to address your specific questions, but please note that this will depend on the amount of time available, the relevance of the questions and the order in which the questions are received.
Should you have a question, please send it to firstname.lastname@example.org.
Disclaimer: The information provided during the course has been prepared solely for the instruction of course participants. This information is not intended to constitute advice on any particular matter.
Continuing Professional EducationRecommended NASBA CPE points for this course: 13.5 (in accordance with the standards of the National Registry of CPE points, CPE credits are granted based on a 50-minute hour). Read more information on CPE points and accreditation for IBFD International Tax Courses.
Course fee and registration detailsThe course fee covers participation in the course, all course materials, lunch, coffee/tea and refreshments. The costs of accommodation and transport are not covered. If you have any other questions regarding attendance of the course, travel arrangements, payments and cancellations, please consult our FAQ.
- Global update on BEPS developments
- OECD multilateral instrument
- Case study
- Transfer pricing post-BEPS
- Recent EU anti-tax avoidance developments
- Unilateral BEPS-motivated domestic law measures