29 Oct 2008

Ticklish issue of whether or not to migrate to another tax jurisdiction

Financial Times (www.ft.com) has just published a very interesting article entitled "Ticklish issue of whether or not to migrate to another tax jurisdiction", wrote by Vanessa Houlder:

Amid this Autumn’s financial turmoil, WPP, the world’s second largest advertising group, unveiled big tax savings from a small but significant change in its corporate structure.

It joined a handful of businesses – Shire, United Business Media, Regus, Charter and Henderson – in moving its holding company and tax base out of the UK.
More companies could follow suit. Richard Lambert, director general of the CBI, recently told a conference “any independent director worth her salt” would be asking whether the company should move headquarters for tax reasons.

Ashley Almanza, chief financial officer of BG and chairman of the Hundred Group, the influential lobbyist, says factors such as the judicial framework, the benefits of agglomeration and reputational issues ensure that any decision to move would not be taken lightly. “There are powerful reasons to stay,” he says.

But companies with large overseas operations could make big savings by moving their tax base to small, business-friendly regimes such as Ireland or Luxembourg.

The classic emigration route is via an “inversion”: setting up an overseas holding company, typically in Ireland, that acquires the old UK company on a share-for-share basis.

The company is usually incorporated in Jersey to ensure no stamp duty is payable. The UK company then sells its foreign subsidiaries to the new Irish holding company.
Provided the activities are mainly trading in nature, the gains should be exempt from capital gains tax under the “substantial shareholding exemption”.

The main reason why an inversion would save tax lies in the “controlled foreign companies” (CFC) rules, under which the UK taxes offshore passive income, such as royalties and interest. By contrast, it normally only taxes foreign profits when dividends are paid back to the UK.

These CFC rules have been tightened in successive Budgets. That has curtailed the ability of companies to do international tax planning.

For some companies intending to expand their overseas operations, the UK’s CFC regime is a powerful incentive to move to a country such as Ireland that has no CFC rules.

Another powerful force driving some multinationals to change their domicile is a fear that the CFC rules will become even tougher.

This prospect was raised by the Treasury’s consultation, launched last year, on how to reform the taxation of foreign profits.

The Treasury is sympathetic to a longstanding business request to allow the tax-free repatriation of foreign dividends. But it fears this concession will be used to find new ways to avoid tax.

As a result, it is considering adopting tougher CFC rules. After an outcry, it told businesses in July that it had dropped proposals to sweep all their overseas income relating to intellectual property into the British tax net through a new “controlled companies” regime.

The Treasury is also considering tightening up on the ability of businesses to inject debt into their UK operations, reducing their taxable profits. It has proposed a worldwide debt cap, which would stop UK entities having more debt than required to finance the worldwide group.

This proposal worries some multinationals, although the Treasury has said it would set it aside when a group was cash-rich for a temporary reason, such as completing a sale.

Henderson, the fund manager, estimated changing its domicile would cost £4.5m. Smaller or less profitable businesses or those with significant tax losses are unlikely to make big tax savings by moving.

Moreover, inversions carry risks. There is ample scope for a political backlash against businesses avoiding tax, particularly when taxpayers are having to bail out the financial sector.

There is also a risk of a change in the tax regime in the new domicile. Ireland has underlined its commitment to preserving its low corporate tax rate, even though it has announced other tax rises.

Another risk could flow from a Revenue & Customs’ investigation into whether the control of a business has genuinely left the UK.

The costs and risks mean inversions are not a sensible option for all international companies. The UK continues to attract the lion’s share of headquarters set up in Europe, according to Oxford Intelligence research for Ernst & Young. Peter Lemagnen, its managing director, suggests that smaller companies are still being drawn to Britain but the tax regime is a deterrent for some larger, more sophisticated companies.

Historically, the UK won more than 40 per cent of headquarters investment in Europe; last year it fell to 30 per cent.

Philip Cox, chief executive of International Power, which owns power stations in 20 countries, says his group’s ability to compete will be severely hampered if foreign interest income is swept in the British corporate tax net. “For us, the treatment of overseas profits is critical. It can be a deciding factor on winning or losing a bid.”

Copyright The Financial Times Limited 2008

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25 Oct 2008

Regulating Tax Competition in Offshore Financial Centers


Regulating Tax Competition in Offshore Financial Centers


Craig M. Boise (Case Western Reserve University - School of Law) published this paper at Case Legal Studies Research Paper No. 08-26

Here is the Abstract:

One of the more entrenched issues in international taxation over the last thirty years has been how to define and respond appropriately to harmful tax competition among nations, especially competition from offshore financial centers (OFCs). The Organization for Economic Co-operation and Development (OECD) and the European Union (EU) have both mounted initiatives seeking to regulate such competition, and OFCs have strongly objected to these initiatives as an abrogation of their sovereignty in tax matters. This paper provides an introduction to the debate over the regulation of international tax competition, beginning with an overview of the essential architecture of international taxation and the way that its structure creates problems for developed countries and opportunities for OFCs, and continuing with an assessment of the arguments asserted in favor of, and against, regulating tax competition.

The paper then examines how developed countries, through the OECD and EU, have defined international tax competition, and the efforts made by both organizations to regulate such competition. Finally, the paper draws on the way the OECD and EU dealt specifically with the twin touchstones of virtually all definitions of tax havens-low or no income taxation and bank secrecy-to suggest the direction that regulation of tax competition is likely to take in the future.

Available at SSRN: http://ssrn.com/abstract=1266329



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21 Oct 2008

España: tributación de rentas inmobiliarias obtenidas por empresas no residentes




En el caso de sociedades no residentes sin establecimiento permanente, las rentas que obtengan por los inmuebles situados en España tributan en este país en función si el bien inmueble está arrendado o no.

a) En el caso de que el inmueble esté alquilado la base imponible vendrá determinada por los ingresos íntegros (sin deducción de gastos) y el tipo de gravamen desde 1-1-2007, es el 24%.

b) En relación con los inmuebles desocupados, éstos se someten a un gravamen especial que ahora se encuentra encuadrado en la nueva Ley IRNR. La base imponible estará constituida por el valor catastral, y si este no existiese, se utilizará el valor determinado con arreglo a las disposiciones del Impuesto sobre el Patrimonio. El tipo de gravamen será el 3%.

c) Todo ello sin perjuicio de la aplicación de lo dispuesto en Tratados y Convenios Internacionales. Pero todos los Convenios de Doble Imposición suscritos por España siguen el criterio del Modelo de Convenio de la OCDE, en el sentido de que las rentas derivadas de los bienes inmuebles pueden gravarse en el Estado en que tales bienes están situados. Este criterio se aplica cualquiera que sea la renta que se obtenga del bien inmueble, arrendamiento, utilización de vivienda, etc.

RESIDENCIA FISCAL PERSONAS FISICAS, Caso 1




RESIDENCIA FISCAL PERSONAS FISICAS

1-FRANCISCO, golfista de nacionalidad española, tiene domicilio en Monaco y una vivienda en Barcelona. Tiene que jugar por todo el mundo, entre ellos solo dos meses en España. Donde es residente fiscal?. Y si regenta un club de golf en Gerona?.


2-MAXIM, millonario de nacionalidad española, se traslada a Suiza para gozar de todas las ventajas fiscales de este país, todo el año 2007, pero deja a su familia en España. Dónde tributará?


3-MARIA trabaja para una empresa española y vive todo el año en España. Pero obtiene algunas rentas en otros países. Donde debe tributar?


4-Al año siguiente, la empresa española la envía a trabajar a Italia. Se considera renta de fuente española, y por tanto sujeta a imposición en España?


5-JOHN trabaja en España un tiempo, pero es residente canadiense. Le han dicho que debe tributar un 24% por los rendimientos de su trabajo. Pero que si la empresa para la que trabaja en España es extranjera y esta no tiene establecimiento permanente en España, podría estar exento de pagar en España si así lo dice el Convenio. Alguien se lo puede explicar?.


6-LECLERC, residente en Francia, se desplaza a España en agosto del 2005 durante 3 años, para trabajar en la filial de la multinacional francesa que tiene en España. Su salario es satisfecho por la matriz francesa, sin que sea repercutido a la filial española. Paga en el 2005 como no residente al 24%?. Y en el año 2006 como tributa?. Se le puede aplicar el régimen de impatriados durante 5 años?. Si se le puede aplicar, le interesará a LECLERC pagar el 24% o la tabla progresiva del IRPF?.


7-JUAN es residente en España pero se traslada a vivir a Panamá por motivos profesionales. Donde tributará los próximos 4 años si su nacionalidad es española?. Y si su nacionalidad es colombiana?.


8-HANS tiene un inmueble en Barcelona y lo alquila durante 7 meses. ¿Dónde tributa esta operación por Convenio y por ley interna?. HANS tributaría al 24%?. Pero si HANS tiene una oficina con empleado en España (actividad empresarial), no tendría que tributar al 30%? En ambos casos se puede aplicar deducciones?. En el primer caso, tributaría por los 5 meses que no ha arrendado el inmueble?. HANS sabe que si vende el inmueble tributará al 18% de la plusvalía, pero no sabe si se puede compensar con otras pérdidas que tenga el mismo año. Las podrá compensar él, que es no residente en España?.


9-JUDITH compra deuda pública española. ¿Debe tributar por sus rentas si es residente fiscal en Alemania?. Y si es residente fiscal en Jersey, un paraíso fiscal?. También abre una cuenta bancaria en el BBVA de no residente. El banco le retendrá?.


10-CARLOS vende acciones de Repsol. Si CARLOS es residente fiscal en Argentina, y por aplicación del Convenio, está exento de tributar en España, por qué tributaría al 18% si fuera residente en Chipre, que es miembro de la Unión Europea, cuando los residentes de la Unión Europea están exentos si no poseen más de un 25% de participación en una misma sociedad?.


11-PEDRO, inmigrante que ha estado trabajando en España, se jubila y vuelve a su país, que no tiene Convenio con España, percibiendo una pensión de la Seguridad Social española. La ley interna española dice que tributaría como no residente (24%) en tanto se deriven de trabajo realizado en España. ¿Qué puede hacer PEDRO para evitarlo?.

15 Oct 2008

Schwidetzky: Musings on a German Tax Conference

Walter D. Schwidetzky shares his interesting "Musings on a German Tax Conference" on http://taxprof.typepad.com/:

"I have recently returned from a German tax conference on the value added tax (19% in Germany). Some musings:

A big issue for the value added tax in Europe is people gaming the system. As there is not a uniform value added tax in Europe, people will often buy a product in a country with a lower value added tax and then bring it into the country where they live. With higher end items like cars, this has mostly been stopped, but for other items it is a common problem, especially for people living near borders.
German maximum income tax rates are high by US standards, in the low 40%’s for income above around 60,000 Euros (around $81,000 depending on exchange rates). Germans may, however, effectively deduct payments for medical insurance and mandatory pension contributions. As a consequence, the net effective rate of income tax in the US and Germany, especially for middle class families, may not be that different once medical insurance and pension contributions are taken into account. Most Germans do not think their tax rates are too high, at least judging by the comments of people at the conference (who are mostly high earners). However, Germany significantly lowered its income tax rates in 2000, and its economy has done significantly better since then, providing some possible evidence of a move from the right side of the Laffer curve to more in the middle. While Germany’s unemployment rate has come down as a result of the recent boom in exports, it remains stubbornly high, around 8%, 15% in the former East Germany. At the same time, Germany has a shortage of skilled workers. I have been told that most of Germany’s unemployed have few skills and often a limited capacity to develop them. I should add that many Germans feel that the reunification has created many of Germany’s economic problems, which have been tough to solve. The unemployment rate in the former West Germany is comparable to that of the U.S.

Most Americans have a somewhat romanticized view of universal health care. While few Germans would support moving away from universal health care, most would agree that their system is badly in need of repair. There is a bewildering array of some 300 health insurance companies, mostly private, though some at least have a state association. A minimum amount of health insurance is required. Most who can afford it buy upgraded private insurance to get better care and better service. If you have the standard insurance, and you want to see a doctor, you don’t make an appointment; you just show up and wait until the doctor sees you. Might be an hour, might be half of a day. An American friend of mine gave birth to her third child in Germany. Initially she was put in a room with 7 other women, which freaked her out as she was used to US standards. She and her husband paid extra for a semi-private room. (A digression: When she and her husband asked for a circumcision, the doctor responded: ”Half or whole?” Not a question they wanted to answer incorrectly…). Many young German hospital doctors by the hour make the same as the janitorial staff. As a consequence, large numbers of young doctors are leaving Germany for better paying jobs in the US, Switzerland, and England. I would rather be sick with good insurance in the US than in Germany, but if I was poor, I would rather be sick in Germany where at least I would get treatment.

Most Germans probably also have a greater sense of social obligation to those less fortunate than most Americans. Most Germans trust their government more than most Americans trust theirs. Governmental paternalism is much more accepted in Germany than the US. The reach of this would surprise many Americans, however. For example, free speech is not allowed nearly to the same extent in Germany as it is in the US. Also, Moslem women who want to teach school are not allowed to wear head scarves (which has the effect of preventing many from entering the teaching profession). Germans commonly feel that the scarf subjugates women and also feel that teachers’ religious views should not be obvious to students. These considerations trump religious freedom issues. The Church of Scientology is at risk of being outlawed in Germany, something that could not happen in the US. (I might add that there is some hypocrisy here. In Bavaria it is common to see crosses on the walls in courts and schools.) Last I checked, if you change abodes in Germany, you are required to register with the police. Name changes are generally not allowed.

Many of my liberal colleagues probably would prefer the German system to the US system. Having lived in Germany and experienced German paternalism first hand, I am more hesitant, but I don’t doubt the US and Germany could learn from each other. As Prof. Ted Seto pointed out in a recent posting on TaxProf, the US needs to pay more attention to how other countries do things. There is plenty we could learn."

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13 Oct 2008

Constitutional Restraints on Corporate Tax Integration

Walter Hellerstein (University of Georgia School of Law), Georg Kofler (NYU School of Law) and Ruth Mason (University of Connecticut School of Law) published the report Tax Law Review, Forthcoming. Available at SSRN:http://ssrn.com/abstract=1101560

Here is the Abstract:

States that conclude that double taxation of corporate profits unacceptably distorts the choice of business form, the debt and equity capitalization of companies, and the character and timing of profits distributions may adopt integrated corporate tax regimes, but states almost always limit such re gimes to domestic dividends¿those paid by a corporation taxable in the state to a shareholder also taxable in the state. In contrast, states generally deny double tax relief to cross-border dividends. Failure to extend relief to cross-border dividends distorts locational investment decisions.

Although restricting double tax relief to domestic dividends does not violate international tax nondiscrimination rules, more stringent nondiscrimination rules govern state taxation in the European Union and the United States. Member states of those common markets may not constitutionally prefer domestic commerce over cross-border commerce, and that constitutional constraint limits EU and U.S. states' ability to confine double tax relief to domestic dividends. This symposium paper establishes the basic framework for taxation of cross-border dividends, closely analyzes and compares constitutional challenges to states' failure to extend double tax relief to cross-border dividends in Europe and the United States, and identifies the principal policy considerations emerging from the nascent cross-border dividend jurisprudence in the European Court of Justice.

This Blog/Web Site ("Blog") does not to provide specific legal advice, it is for educational purposes only. This Blog is made available by the international adviser, lawyer or law firm for educational purposes only as well as to give you general information and a general understanding of the law, not to provide specific legal advice.

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• You can use your wireless device to obtain a wide array of services based on the approximate location of the device, referred to as Location Based Services, or LBS. The information you receive in connection with your use of LBS may include advertisements related to your request and your location;

Online Activity Tracking and Advertising
• We collect information about your activity on this Blog for a number of purposes using technologies such as cookies, Web beacons, widgets and server log files.
• We and our advertising partners use that information, as well as other information they have or we may have, to help tailor the ads you see on our sites and to help make decisions about ads you see on other sites.

The Information We Collect, How We Collect It, And How We Use It

We collect different types of personal and other information based on your use of our products and services and our business relationship with you. Some examples include:
• Contact Information that allows us to communicate with you -- including your name, address, telephone number, and e-mail address;
• Equipment, Performance, Site Usage, Viewing and other Technical Information about your use of our network, services, products or Web sites.

We collect information in 2 primary ways:
• You give it to us when you register to provide comments;
• We collect it automatically when you visit our Blog.

We use the information we collect in a variety of ways, including to:
• Provide you with the best visitor experience possible;
• Deliver customized content that may be of interest to you;
• Address network integrity and security issues;
• Investigate, prevent or take action regarding illegal activities, violations of our Terms of Service or Acceptable Use Policies; and
• For local directory and directory assistance purposes.

Aggregate or Anonymous Information:

We may share aggregate or anonymous information in various formats with trusted entities’ only for purposes such as:
• Our knowledge, and offer of information that may be of interest to you;
• Universities, laboratories and other entities that conduct scientific research; and
• Media research companies for general information only.

9 Oct 2008

What Problems and Opportunities are Created by Tax Havens?

Dhammika Dharmapala (University of Connecticut) published this paper.


Here is the Abstract:

Tax havens have attracted increasing attention from policymakers in recent years. This paper provides an overview of a growing body of research that analyzes the consequences and determinants of the existence of tax haven countries. For instance, recent evidence suggests that tax havens tend to have stronger governance institutions than comparable non haven countries.

Most importantly, tax havens provide opportunities for tax planning by multinational corporations. It is often argued that tax havens erode the tax base of high-tax countries by attracting such corporate activity. However, while tax havens host a disproportionate fraction of the world's foreign direct investment (FDI), their existence need not make high-tax countries worse off. It is possible that, under certain conditions, the existence of tax havens can enhance efficiency and even mitigate tax competition. Indeed, corporate tax revenues in major capital-exporting countries have exhibited robust growth, despite substantial FDI flows to tax havens.

Available at SSRN: http://ssrn.com/abstract=1279146



This Blog/Web Site ("Blog") does not to provide specific legal advice, it is for educational purposes only. This Blog is made available by the international adviser, lawyer or law firm for educational purposes only as well as to give you general information and a general understanding of the law, not to provide specific legal advice.

The Blog does not constitute legal advice and is not a substitute for competent legal advice from a licensed attorney in your state. Any comment posted on the Blog can be read by any Blog visitor; do not post confidential or sensitive information. Any links from another site to the Blog are beyond the control of us.

By using this blog site you understand that there is no attorney client relationship between you and the Blog.

The Blog should not be used as a substitute for competent legal advice from a licensed professional adviser or lawyer in your country.

Our firm and do not convey their approval, support or any relationship to any site or organization. The use of this Blog does not implicitly or explicitly convey any warranties or representations as to the accuracy of the information contained herein.

This Blog has created this privacy statement in order to demonstrate our firm commitment to privacy. The following discloses the information gathering and dissemination practices for this Blog.

This Blog takes your privacy very seriously. Our customers told us they want to see clear, easy-to-read information about our privacy commitments and policies. We have made our privacy policies easier to find and easier to read. And we're listening. We welcome your questions and feedback on our privacy policies, and invite you to contact us with your thoughts.

Customer Privacy Controls and Choices:
• You can review and correct your Personal Information collected by us.
• You can limit certain types of solicitation communications from AT&T, including marketing contacts made via telephone, e-mail and text messaging.
• We will provide you with notice of changes to this policy.

Our privacy commitments are fundamental to the way we do business every day. These apply to everyone who has a relationship with this Blog and visitors.
• We will protect your privacy and keep your personal information safe. We use powerful encryption and other security safeguards to protect customer data, when available.
• We will not sell your personal information to anyone, for any purpose. Period.
• We will fully disclose our privacy policies in plain language, and make our policies easily accessible to you.
• We will notify you of any revisions to our privacy policy, in advance. No surprises.
• You have choices about how this Blog uses your information for marketing purposes. Customers are in control.


This Privacy Policy identifies and describes the way This Blog uses and protects the information we collect about visitors. All use of this Blog is subject to this Privacy Policy.

Use of Location Information
• When your wireless device is on, it sends periodic signals to the nearest cell site. We use that information to provide your wireless services;
• You can use your wireless device to obtain a wide array of services based on the approximate location of the device, referred to as Location Based Services, or LBS. The information you receive in connection with your use of LBS may include advertisements related to your request and your location;

Online Activity Tracking and Advertising
• We collect information about your activity on this Blog for a number of purposes using technologies such as cookies, Web beacons, widgets and server log files.
• We and our advertising partners use that information, as well as other information they have or we may have, to help tailor the ads you see on our sites and to help make decisions about ads you see on other sites.

The Information We Collect, How We Collect It, And How We Use It

We collect different types of personal and other information based on your use of our products and services and our business relationship with you. Some examples include:
• Contact Information that allows us to communicate with you -- including your name, address, telephone number, and e-mail address;
• Equipment, Performance, Site Usage, Viewing and other Technical Information about your use of our network, services, products or Web sites.

We collect information in 2 primary ways:
• You give it to us when you register to provide comments;
• We collect it automatically when you visit our Blog.

We use the information we collect in a variety of ways, including to:
• Provide you with the best visitor experience possible;
• Deliver customized content that may be of interest to you;
• Address network integrity and security issues;
• Investigate, prevent or take action regarding illegal activities, violations of our Terms of Service or Acceptable Use Policies; and
• For local directory and directory assistance purposes.

Aggregate or Anonymous Information:

We may share aggregate or anonymous information in various formats with trusted entities’ only for purposes such as:
• Our knowledge, and offer of information that may be of interest to you;
• Universities, laboratories and other entities that conduct scientific research; and
• Media research companies for general information only.

8 Oct 2008

Corporate Income Tax Reforms and International Tax Competition


Corporate Income Tax Reforms and International Tax Competition


Michael P. Devereux (Centre for Business Taxation, Oxford University), Rachel Griffith (University College, London; Institute for Fiscal Studies (IFS)) and Alexander Klemm (International Monetary Fund (IMF)) published this paper at Economic Policy, Vol.17-35, pp. 451-495, 2002


Here is the Abstract:

This paper analyses the development of taxes on corporate income in EU and G7 countries over the last two decades. We establish a number of stylised facts about their development. Tax-cutting and base-broadening reforms have had the effect that, on average across EU and G7 countries, effective tax rates on marginal investment have remained fairly stable, but those on more profitable investments have fallen. We discuss two possible explanations of these stylised facts arising from alternative forms of tax competition. First, governments may be responding to a fall in the cost of income shifting, which puts downward pressure on the statutory tax rate. Second, reforms are consistent with competition for more profitable projects, in particular those earned by multinational firms.

Available at SSRN: http://ssrn.com/abstract=639482



This Blog/Web Site ("Blog") does not to provide specific legal advice, it is for educational purposes only. This Blog is made available by the international adviser, lawyer or law firm for educational purposes only as well as to give you general information and a general understanding of the law, not to provide specific legal advice.

The Blog does not constitute legal advice and is not a substitute for competent legal advice from a licensed attorney in your state. Any comment posted on the Blog can be read by any Blog visitor; do not post confidential or sensitive information. Any links from another site to the Blog are beyond the control of us.

By using this blog site you understand that there is no attorney client relationship between you and the Blog.

The Blog should not be used as a substitute for competent legal advice from a licensed professional adviser or lawyer in your country.

Our firm and do not convey their approval, support or any relationship to any site or organization. The use of this Blog does not implicitly or explicitly convey any warranties or representations as to the accuracy of the information contained herein.

This Blog has created this privacy statement in order to demonstrate our firm commitment to privacy. The following discloses the information gathering and dissemination practices for this Blog.

This Blog takes your privacy very seriously. Our customers told us they want to see clear, easy-to-read information about our privacy commitments and policies. We have made our privacy policies easier to find and easier to read. And we're listening. We welcome your questions and feedback on our privacy policies, and invite you to contact us with your thoughts.

Customer Privacy Controls and Choices:
• You can review and correct your Personal Information collected by us.
• You can limit certain types of solicitation communications from AT&T, including marketing contacts made via telephone, e-mail and text messaging.
• We will provide you with notice of changes to this policy.

Our privacy commitments are fundamental to the way we do business every day. These apply to everyone who has a relationship with this Blog and visitors.
• We will protect your privacy and keep your personal information safe. We use powerful encryption and other security safeguards to protect customer data, when available.
• We will not sell your personal information to anyone, for any purpose. Period.
• We will fully disclose our privacy policies in plain language, and make our policies easily accessible to you.
• We will notify you of any revisions to our privacy policy, in advance. No surprises.
• You have choices about how this Blog uses your information for marketing purposes. Customers are in control.


This Privacy Policy identifies and describes the way This Blog uses and protects the information we collect about visitors. All use of this Blog is subject to this Privacy Policy.

Use of Location Information
• When your wireless device is on, it sends periodic signals to the nearest cell site. We use that information to provide your wireless services;
• You can use your wireless device to obtain a wide array of services based on the approximate location of the device, referred to as Location Based Services, or LBS. The information you receive in connection with your use of LBS may include advertisements related to your request and your location;

Online Activity Tracking and Advertising
• We collect information about your activity on this Blog for a number of purposes using technologies such as cookies, Web beacons, widgets and server log files.
• We and our advertising partners use that information, as well as other information they have or we may have, to help tailor the ads you see on our sites and to help make decisions about ads you see on other sites.

The Information We Collect, How We Collect It, And How We Use It

We collect different types of personal and other information based on your use of our products and services and our business relationship with you. Some examples include:
• Contact Information that allows us to communicate with you -- including your name, address, telephone number, and e-mail address;
• Equipment, Performance, Site Usage, Viewing and other Technical Information about your use of our network, services, products or Web sites.

We collect information in 2 primary ways:
• You give it to us when you register to provide comments;
• We collect it automatically when you visit our Blog.

We use the information we collect in a variety of ways, including to:
• Provide you with the best visitor experience possible;
• Deliver customized content that may be of interest to you;
• Address network integrity and security issues;
• Investigate, prevent or take action regarding illegal activities, violations of our Terms of Service or Acceptable Use Policies; and
• For local directory and directory assistance purposes.

Aggregate or Anonymous Information:

We may share aggregate or anonymous information in various formats with trusted entities’ only for purposes such as:
• Our knowledge, and offer of information that may be of interest to you;
• Universities, laboratories and other entities that conduct scientific research; and
• Media research companies for general information only.

More information:

http://www.jpa-iac.com/en/
http://www.braxton-co.com/en/
http://www.tax-international.com
http://www.braxton-group.com

5 Oct 2008

The Impact of Taxes on Internet Purchase Behavior



No Longer a Tax Haven? The Impact of Taxes on Internet Purchase Behavior


Peng Huang (Georgia Institute of Technology) and Nicholas H. Lurie (Georgia Institute of Technology) published this study on September 2008.


Here is the Abstract:

Using the online transaction data of 88,814 U.S. households in 2006, we analyze how local tax rates affect online purchasing behavior. Although earlier survey-based research has found that consumers who live in high-tax localities are more likely to shop online, our transaction-based data show the opposite. We find that higher local tax rates are associated with lower online expenditures, reduced transaction frequency, and a lower probability of making an online purchase. A disaggregate analysis shows that increased sales tax does not significantly boost demand from tax avoiding retailers but significantly lowers demand for online retailers that collect tax. In addition online shoppers are more than twice as sensitive to tax as traditional store shoppers. Finally, we document that tax losses from Internet sales are more moderate than previously estimated.

Available at SSRN: http://ssrn.com/abstract=1266432

This Blog/Web Site ("Blog") does not to provide specific legal advice, it is for educational purposes only. This Blog is made available by the international adviser, lawyer or law firm for educational purposes only as well as to give you general information and a general understanding of the law, not to provide specific legal advice.
The Blog does not constitute legal advice and is not a substitute for competent legal advice from a licensed attorney in your state. Any comment posted on the Blog can be read by any Blog visitor; do not post confidential or sensitive information. Any links from another site to the Blog are beyond the control of us.
By using this blog site you understand that there is no attorney client relationship between you and the Blog.
The Blog should not be used as a substitute for competent legal advice from a licensed professional adviser or lawyer in your country.
Our firm and do not convey their approval, support or any relationship to any site or organization. The use of this Blog does not implicitly or explicitly convey any warranties or representations as to the accuracy of the information contained herein.
This Blog has created this privacy statement in order to demonstrate our firm commitment to privacy. The following discloses the information gathering and dissemination practices for this Blog.
This Blog takes your privacy very seriously. Our customers told us they want to see clear, easy-to-read information about our privacy commitments and policies. We have made our privacy policies easier to find and easier to read. And we're listening. We welcome your questions and feedback on our privacy policies, and invite you to contact us with your thoughts.
Customer Privacy Controls and Choices:• You can review and correct your Personal Information collected by us. • You can limit certain types of solicitation communications from AT&T, including marketing contacts made via telephone, e-mail and text messaging. • We will provide you with notice of changes to this policy.
Our privacy commitments are fundamental to the way we do business every day. These apply to everyone who has a relationship with this Blog and visitors. • We will protect your privacy and keep your personal information safe. We use powerful encryption and other security safeguards to protect customer data, when available. • We will not sell your personal information to anyone, for any purpose. Period. • We will fully disclose our privacy policies in plain language, and make our policies easily accessible to you. • We will notify you of any revisions to our privacy policy, in advance. No surprises. • You have choices about how this Blog uses your information for marketing purposes. Customers are in control.
This Privacy Policy identifies and describes the way This Blog uses and protects the information we collect about visitors. All use of this Blog is subject to this Privacy Policy.
Use of Location Information • When your wireless device is on, it sends periodic signals to the nearest cell site. We use that information to provide your wireless services; • You can use your wireless device to obtain a wide array of services based on the approximate location of the device, referred to as Location Based Services, or LBS. The information you receive in connection with your use of LBS may include advertisements related to your request and your location;
Online Activity Tracking and Advertising• We collect information about your activity on this Blog for a number of purposes using technologies such as cookies, Web beacons, widgets and server log files. • We and our advertising partners use that information, as well as other information they have or we may have, to help tailor the ads you see on our sites and to help make decisions about ads you see on other sites.
The Information We Collect, How We Collect It, And How We Use It
We collect different types of personal and other information based on your use of our products and services and our business relationship with you. Some examples include: • Contact Information that allows us to communicate with you -- including your name, address, telephone number, and e-mail address; • Equipment, Performance, Site Usage, Viewing and other Technical Information about your use of our network, services, products or Web sites.
We collect information in 2 primary ways:• You give it to us when you register to provide comments; • We collect it automatically when you visit our Blog.
We use the information we collect in a variety of ways, including to: • Provide you with the best visitor experience possible; • Deliver customized content that may be of interest to you; • Address network integrity and security issues; • Investigate, prevent or take action regarding illegal activities, violations of our Terms of Service or Acceptable Use Policies; and • For local directory and directory assistance purposes.
Aggregate or Anonymous Information:
We may share aggregate or anonymous information in various formats with trusted entities’ only for purposes such as: • Our knowledge, and offer of information that may be of interest to you; • Universities, laboratories and other entities that conduct scientific research; and • Media research companies for general information only.
More information:
http://www.jpa-iac.com/en/

http://www.braxton-co.com/en/

http://www.tax-international.com

http://www.braxton-group.com

1 Oct 2008

España: inspecciones de impuestos sin papel


"Se acabó papel en las inspecciones de Hacienda de las empresas", articulo publicado el 29-09-2008 , por José Mª López Agúndez en Expansion.com:

Una consulta de la DGT permite “destruir el papel” una vez que se digitalicen las facturas. El criterio de Tributos se adelanta en el tiempo porque todavía son muy frecuentes las actuaciones en las que se pide papel. El sistema informático debe certificarse por Hacienda.

La Dirección General de Tributos (DGT) acepta y respalda que las empresas puedan presentar y conservar las facturas en formato digital para las inspecciones y requerimientos que realice la Administración.

En una consulta sobre deducción de cuotas soportadas del Impuesto sobre el Valor Añadido (IVA), la DGT explica de forma muy gráfica que una vez que los documentos de las empresas se digitalicen “se puede incluso destruir el papel”. El requisito imprescindible para poder beneficiarse de la tecnología es que la empresa cuenta con un sistema homologado o certificado por Hacienda.

Tributos ha estudiado la consulta realizada por una empresa que procesa un elevado número de documentos en papel, digitalizando todos ellos para ser incluidos en una base de datos. La compañía preguntaba a Hacienda sobre la validez como prueba de los documentos digitalizados en su correspondiente soporte ?disquetes, CD y cintas magnéticas? ante cualquier requerimiento de la Administración tributaria.

Lo que hace la DGT es interpretar la Orden 962/2007 sobre Facturación telemática y conservación electrónica de facturas del Ministerio de Economía. En esta norma se incluyen los requisitos del sistema de software que deben tener las empresas para digitalizar su documentación y en la Resolución de 24-X-2007 se recoge el procedimiento que tienen que seguir las empresas para conseguir que el director del departamento de Informática Tributaria de la Agencia homologue su sistema. También se incluyen los formatos, entre otros, el PDF y JEPG2000.

La principal característica que debe reunir el software es que “garantice la obtención de una imagen fiel e íntegra de cada documento y firmada con firma electrónica”. El sistema digital “certificado”, añade la consulta, tendrá que “organizarse en torno a una base de datos documental y que por cada documento digitalizado se conserve un registro de datos con todos los campos exigibles en la llevanza de los libros de registro”.

Según explica la DGT, “en la medida en que las facturas y documentos sustitutivos y cualesquiera otros documentos o justificantes pueden ser digitalizados y conservados por medios electrónicos, pudiéndose incluso destruir el papel, dicha documentación en soporte electrónico puede ser válida como medio de prueba en los procedimientos realizados ante la Administración tributaria”.

La consulta introduce una importante matización en lo que se refiere a la destrucción de los documentos. El contribuyente tendrá que tener en cuenta “el cumplimiento de las obligaciones que en otros ámbitos, como el mercantil, afecten a la conservación de dichos documentos”.

Es decir, no todo el papel tiene por qué desaparecer, ya que en otro tipo de ámbitos fuera de lo que es el procedimiento administrativo tributario, como las transacciones comerciales, puede ser relevante su conservación.

Por otro lado, la consulta recuerda que la Ley 37/1992 del IVA ya previó que “las facturas recibidas, los justificantes contables, las facturas expedidas y las demás copias deberán conservarse, incluso por medios electrónicos, durante el plazo de prescripción del impuesto”. De igual forma, esta norma también establece que la conservación de este tipo de documentos “se podrá cumplir por un tercero, que actuará en nombre y por cuenta del sujeto pasivo”.

Como explica Raúl Salas, socio del Área Fiscal de Baker & McKenzie, la importancia de esta consulta reside en que “la DGT se pronuncia sobre la validez del formato electrónico de facturas emitidas y recibidas en un momento en el que todavía se pide papel en las inspecciones e incluso cuesta que acepten la firma electrónica en determinadas situaciones”. Salas apunta que el documento o la factura digitalizado tiene que ser “inalterable”.