 MLI Made Easy is the first self-contained book that explains the genesis of the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (MLI) , the way MLI operates and its application on Double Taxation Avoidance Agreements. MLI provides an innovative approach to enable countries to swiftly modify their bilateral tax treaties in order to implement measures developed in the course of the BEPS Project. MLI, the first successfully concluded multilateral tax treaty, provides jurisdictions with the tools to ensure that profits are taxed where economic activities generating the profits are performed, while at the same time giving businesses greater certainty. The book provides a complete grasp of this swift but complex modification process of tax treaties with an abundance of practical examples, diagrams, and flowcharts in a manner that is simple and easy to understand.
What’s in this book:
With an article-by-article discussion of the MLI, focusing on measures to combat tax evasion and abuse of tax treaties due to artificial avoidance of a permanent establishment status, hybrid mismatch arrangements, and other aspects of taxation, the book includes an in-depth analysis of the following and more:
- specific gaps in the existing bilateral tax treaties that are being addressed by the MLI;
- positions taken under the MLI by selected jurisdictions to explain the impact of compatibility and notification clauses, opt-in provisions, alternative provisions, and reservations on the respective covered tax agreement(s);
- statistical data on the MLI and its impact on the tax treaty network;
experiences in implementing the MLI;
- interaction between the principal purpose test and simplified limitation on benefits; and
- elaborate discussion on the meaning of phrases ‘on or after’, ‘other taxes’, and various interpretational issues as an attempt to put aside the misconceived interpretation of entry into effect provisions.
The book presents the technical aspects in an entirely differentiating form with each substantive and procedural provision of the MLI discussed in a harmonious manner.
How this will help you:
One of its kind, the book enables readers to understand how MLI actually modifies the tax treaty network across the globe. Because it immensely facilitates the understanding and application of the treaty measures developed in the course of the BEPS Project, this easy-to-use book will be of immeasurable use to taxpayers, tax advisors, practitioners, interested academics and other professionals in any part of the world engaging in international taxation.
Table Of Contents
About the Author
Preface
List of Abbreviations
List of Figures
List of Tables
Acknowledgements
Executive Summary
CHAPTER 1
Introduction
CHAPTER 2
MLI: Introduction
CHAPTER 3
MLI: Structure and Substantive Provisions
CHAPTER 4
MLI: Procedural Provisions
CHAPTER 5
MLI: Journey & Experiences
CHAPTER 6
Conclusion
Annexes
ANNEX I
Bird’s-Eye View of Application of MLI Provisions in Denmark’s DTAAs Where Synthesised Texts Released (Status as on 31-12-2020)
ANNEX II
Bird’s-Eye View of Application of MLI Provisions in India’s DTAAs Where Synthesised Texts Released (Status as on 31-12-2020)
ANNEX III
Bird’s-Eye View of Application of MLI Provisions in the Netherlands’ DTAAs Where Synthesised Texts Released (Status as on 31-12-2020)
ANNEX IV
Interplay Between MLI, BEPS Final Reports and OECD MTC 2017
ANNEX V
Structure of Substantive Provisions of MLI – At a Glance
Bibliography
Index |
