...United States company but based out of Germany and there is a problem that needs addressed. You will need a complete management staff on the ground in Germany to oversee any problems. Depending on the situation it could require you to go on location which could take you a few days to get there as opposed to a local based company that you could be within a few hours from. This location in Germany does have a few benefits for online companies. It is centrally located to where shipments could ship faster across the world. Customers would receive products faster and that would increase overall satisfaction. Taxes will need to be considered in Germany. There are several pages of tax law that would need to be analyzed by a legal team to make sure the company pays all appropriate taxes and receives certain tax breaks they qualify for. Germany is known for high taxes and it would all depend on how they vary compared to being based in the U.S. Being an online company the language barrier should not be too much of an issue. There are programs for online stores to use to simply select the language of choice while shopping online. However, when dealing with the local government the company will need a spokesperson that is fluent in German. This will be another position the company will have to pay for and most translators for business purposes receive a very good paycheck. Germany’s business policies could vary greatly from those in the U.S. The hours allowed to...
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... Nations’ Role in International Tax Policy A Research and Policy Brief for the Use of the NGO Committee on Financing for Development Hamrawit Abebe, Ryan Dugan, Michael McShane, Julie Mellin, Tara Patel, and Linda Patentas Graduate Program in International Affairs, Milano School of International Affairs, Management, and Urban Policy, The New School March 7, 2012 TABLE OF CONTENTS EXECUTIVE SUMMARY BACKGROUND AND PERSPECTIVES BACKGROUND AND ANALYSIS THE OECD, G77, G20, AND EU ON UPGRADING THE UN TAX COMMITTEE KEY INSTITUTIONAL PLAYERS ARGUMENTS FOR AND AGAINST A UN TAX BODY 3 4 8 12 17 REFLECTIONS AND RECOMMENDATIONS RELATIONSHIP BETWEEN OECD AND UN TAX COMMITTEE GLOBAL TAX POLICIES POLICY RECOMMENDATIONS 20 28 38 APPENDIX GLOSSARY AND ACRONYMS REFERENCES 44 48 52 2 Executive Summary The report provides an analytical view on the role of the United Nations in tax policy, highlighting the interventions made by and challenges to key players in attempts to streamline global tax cooperation. The first section of the paper provides a background on the importance of tax related issues, emphasizing its importance within the Monterrey Consensus. Debates are introduced between two key institutional players regarding global tax cooperation, the OECD’s Committee on Fiscal Affairs and the UN Tax Committee. Views from key players the OECD, Group of 77, Group of 20, and European Union are addressed in the areas of international tax cooperation, the...
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...National Taxation, Fiscal Federalism and Global Taxation by R Boadway* Environmental Taxation and Revenue for Development by A Sandmo* Revenue Potential of the Tobin Tax for Development Finance: A Critical Appraisal by M Nissanke* A Development-Focused Allocation of the Special Drawing Rights by E Aryeetey* The International Finance Facility Proposal by G Mavrotas* Private Donations for International Development by J Micklewright and A Wright* A Global Lottery and a Global Premium Bond by T Addison and A Chowdhury* Remittances by Emigrants: Issues and Evidence by A Solimano* The Way Forward by A B Atkinson Chapter 2 Chapter 3 Chapter 4 Chapter 5 Chapter 6 Chapter 7 Chapter 8 Chapter 9 Chapter 10 Chapter 11 Chapter 12 * These chapters are available on the WIDER website. Chapter 1 Innovative Sources for Development Finance 1 A B Atkinson, Nuffield College, Oxford Introduction 1 Innovative Sources to Meet a Global Challenge 2 New Development Finance: Innovative Sources 3 Origins of the Proposals 4 Political Economy 5 Criteria for Evaluation 6 Guide to the Contents of the Book Box 1 The Millennium Development Goals Box 2 Innovative Sources of Development Funding Considered Here Introduction Two powerful and divergent forces grip the world at present. On the one hand the effectiveness of international organisations has been called into question. The role and functioning of the United Nations is debated. Some nations exhibit frustration with multilateral co-operation...
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...THE GAAR & INCOME TAX REGULATIONS INTRODUCTION: GAAR stands for “General Anti-Avoidance rule. Countries impose taxes on various types with the objective of raising revenue for Government spending. Taxpayers may be expected to minimize their tax liabilities by arranging their affairs in a manner that is termed tax efficient i.e. through tax mitigation. GAAR: Tax avoidance is the legal usage of the tax regime to one's own advantage, to reduce the amount of tax that is payable by means that are within the law. Its original use was by tax advisers as an alternative to the pejorative term tax avoidance. Most countries impose taxes on income earned or gains realized within that country regardless of the country of residence of the person or firm. Most countries have entered into bilateral double taxation treaties with many other countries to avoid taxing nonresidents twice—once where the income is earned and again in the country of residence, however there are relatively few double-taxation treaties with countries regarded as tax havens. INCOME TAX: The government of India imposes an income tax on taxable income of all persons including individuals, Hindu Undivided Families (HUFs), companies, firms, association of persons, body of individuals, local authority and any other artificial judicial person. Levy of tax is separate on each of the persons. The levy is governed by the Indian Income Tax Act, 1961. The Indian Income Tax Department is governed...
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...Westminster International University in Tashkent International Aspects of Business Law 2012 - 2013 Legal Risks in Emerging Markets – Evaluation and Mitigation Legal Risks in Emerging Markets – Evaluation and Mitigation Student’s ID number | 000090 | Module name | International Aspects of Business Law | Module code | 6241170 | Tutor | Eldor Mannopov | Individual assignment | x | Group assignment | | Submission deadline | 13 March, 2013 | For Academic Registrar use only | TABLE OF CONTENTS: INTRODUCTION 3 DEFINING LEGAL RISK LEGAL RISKS IN INTERNATIONAL TRADE LEGAL RISKS COUNTRY PROFILES 4 - MALAYSIA - THAILAND 5 - VIETNAM 7 - CAMBODIA 8 CONCLUSION 9 REFERENCES 10 ITRODUCTION: Cowan PLC specializes in producing copper tubing. Following globalization and internationalization tendencies the company is currently considering an option of exporting...
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...Bureau of Labor Statistics. International Labor Comparison. Manufacturing in China. Retrieved September 12, 2011 from http://www.bls.gov/fls/china.htm. The first literature review for manufacturing in China will consist of three aspects: a) Data comparability b) comparison of hourly rates of compensation of US and China c) comparison of hourly manufacturing compensation cost of US and selected economies and regions. China manufacturing statistics don’t follow regular international standards and sometimes could be hard to understand the data. China does not systematically collect labor statistics like other countries and all of their information about manufacturing has been collected by a set of hypotheses and estimates by U.S. Bureau of Labor Statistics. Even though China data collection has many gaps, the International Community accepts the accumulated data as valid. Hourly compensation costs of manufacturing employees of China compared to U.S. manufacturing from 2002-2008. The data tables suggest that China manufacturing cost has risen on a constant steady pace. In 2008 China manufacturing cost was $0.57 and in 2008 it $1.36 (Manufacturing in China). Largely there is still a big gap compared to U.S. manufacturing and you can where China has gain many manufacturing jobs due to their relative low cost of manufacturing. Hourly compensation cost of manufacturing employees in selected economies and regions suggest that China has the lowest manufacturing cost out of U.S. , Japan...
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...business objectives such as increased profitability and reduced risks. Also, these complex structures allow the company to reduce its overall tax burden. One such strategy is discussed in this paper. Transfer pricing allows the company to price the inter-company transactions. Transfer pricing simplifies the accounting of transactions that take place between affiliated or related entities. Companies have freedom in valuing inter-company transactions. But, if strategically implemented, this strategy allows the company to save taxes and retain large amount of profits. Keywords: Transfer mispricing, tax-havens, Double Irish Dutch Arrangement Transfer Pricing Transfer pricing is the methodology used to set the prices for goods sold or services provided between related entities within an enterprise. Related entities are those which are under control of a single corporation and include branches and companies that are wholly or majority owned ultimately by the parent company. Generally, such a transfer price should be equal to the price which the entity would charge to an independent customer, an arm’s length customer. Such a price is termed as an “arm’s length price” (Transfer Pricing, Wikipedia, 2015). Financial accounting does not differentiate between affiliates and treats the corporate group as a single entity. But the federal income tax law treats affiliates as separate economic actors. This allows multinational companies a free rein to determine where their profits should...
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...the institute of cost accountants of india(ICAI) (A Statutory body under an act of parliament) SYLLABUS 2012 STRUCTURE & contents Evaluation Synthesis ANALYSIS ANALYSIS APPLICATION APPLICATION COMPREHENSION COMPREHENSION COMPREHENSION KNOWLEDGE KNOWLEDGE KNOWLEDGE LEVEL A LEVEL B LEVEL C FOUNDATION COURSE - Syllabus 2012 the institute of cost accountants of india(ICAI) (A Statutory body under an act of parliament) SYLLABUS 2012 STRUCTURE & contents The Institute of Cost Accountants of India (Statutory Body under an Act of Parliament) Page 1 FOUNDATION COURSE - Syllabus 2012 The Following table lists the learning objectives and the verbs that appear in the syllabus learning aims and examination question. Learning objectives Level A COMPREHENSION What you are expected to understand List Make a list of. State Express, fully or clearly , the details/ facts of. Define Give the exact meaning of. Communicate the key features of. Distinguish Highlight the differences between. Explain Make clear or intangible/state the meaning or purpose of. Identify Recognise, establish or select after consideration. Illustrate What you are expected to know Definition Describe KNOWLEDGE Verbs used Use an example to describe or explain something. The Institute of Cost Accountants of India (Statutory Body under an Act of Parliament) ...
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...Foreign direct investment (FDI) occurs when a firm invests funds in business activities out of its country of origin. In order for a firm to become involved in FDI, three conditions of Dunning’s Eclectic Theory (1993); (1) ownership, that is a company possessing an advantage which gives them a competitive edge in the international market as compared to its domestic market, (2) location, where the country a company intends to invest in must have the right pull factors which will be in favour of the investing company, and (3) internalisation, that is transferring the company’s ownership advantage is more beneficial than selling it off, must be satisfied. Emerging countries focus and rely heavily on FDI as it is a vital element which assists in boosting the country’s development and economic growth. Like other developing countries, Malaysia too depended on FDI and benefitted greatly from the strong inflow (Shahrudin, Yusof, & Satar, 2010) and transformed from an agriculture-based economy to an industrial economy (Wong, 2005). Despite being an attractive FDI destination, as well as an eminent host country to foreign investors, Malaysia has seen an 11% decline in FDI inflow (U.N. Conference on Trade and Development, 2015). A country’s rise or fall in FDI is affected by several determinants such as the market factor, trade barriers, costs, and investment climate (Hill, Cronk, & Wickramasekera, 2014). This essay will serve to discuss both domestic and global factors influencing...
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...Regulations Provide Further Guidance on the Application of the Authorized OECD Approach to the Attribution of Profit to Permanent Establishments The author considers the recently issued Regulations on the application of the authorized OECD approach under existing German tax treaties, specifically for the allocation of profit to permanent establishments. 1. Permanent Establishment Profit Attribution Regulations Issued On 13 October 2014, the Upper House (Bundesrat) adopted the “Regulations on the Application of the Arm’ s Length Principle on Permanent Establishments in accordance with section 1(5) of the Foreign Tax Act (Aussensteuergesetz)” (Permanent Establishment (PE) Profit Attribution Regulations) (the Regulations).1 These Regulations were drafted by the Ministry of Finance and were adopted by the Upper House based on the delegated power in section 1(6) of the Foreign Tax Act granted by the parliament (Bundestag). The Regulations have the quality of law and, thus, are binding on taxpayers, the tax administration and the tax courts in Germany. They provide the long-awaited guidance for taxpayers on how they should apply, in practice, the authorized OECD approach under section 1(5) of the Foreign Tax Act, which is effective in Germany for all financial years commencing after 31 December 2012. The rules in the Regulations are effective for financial years starting after 31 December 2014. For taxpayers, this means that they must apply the authorized OECD approach...
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...and for some others, it causes complete downfall. Here we examine five very diverse papers written on five important players in any economy and analyze whether the writers are correct in their assessment of these factors. The five facets examined in these papers are Optimal Tax Policies, Foreign Exchange Rates, Global Energy Prices, Monetary Policies of Banks and The role of Productivity in Economic Growth. Various Facets of Global Economy In today’s world, economy is one of the most talked about point everywhere in the world. Every single politician, industrialist, worker and even students have their own take on what should be done in order to improve the great depression it seems we are in. Unemployment may have seem to have decreased in the United States, but it is still lagging behind many other major economies all around the world. It is important for every common man to understand the various factors that play a part in economic growth or downturn. The first factor is determining the optimal tax policy. Abuselidze (2013) analyzes how far an optimal tax policy goes towards strengthening the macroeconomic stabilization. His analysis provides a great insight into why forming a perfect tax code that pleases everyone is so difficult. Obama and McCain had so many...
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...Asignment on Mission of [pic] Submitted To Prof. Dr. Syed Rashidul Hasan Professor Dept of MBA Date of Submission: Prepared By Md Waliur Rosul ID: 12515035 Lulu International Exchange The specialists in providing foreign exchange expertise to clients. Introduction Lulu International Exchange is the money transaction arm of the renowned LuLu Group of Companies, which has diverse business interests shaped over more than a century of visionary entrepreneurship. Trust and reliability were the watchwords, which built Lulu International Exchange customer base even further. Incorporated in 2008 under the ownership of HH Sheikh Saeed bin Zayed Al Nahyan - a member of the Abu Dhabi Executive Council - and Indian business stalwart M.A. Yusuff Ali, a Padmashree awardee and Managing Director of EMKE Group. The company set up with a paid up capital of AED fifty million has its Registered Office in Abu Dhabi. The company has started its operations from UAE and has liaising offices in India and Bangladesh. Currently, over 40 locations in Malls and Super Markets owned and managed by our Group Company, in the Middle East have been identified for setting up branch offices Between the last two years, Correspondent Banking relationships become with over 100 banks worldwide along with several remote draft printing stations. It should be noted that Remittance and Currency Exchange business are Sharia compliant. In the...
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...right track. Doing business in Country Name Contents Page Foreword Country Profile Regulatory environment Finance Imports Business entities Labour Financial reporting and audit Contact details 1 2 4 6 7 8 10 13 18 Doing business in Malaysia 1 Foreword SJ Grant Thornton is a member firm within Grant Thornton International. SJ Grant Thornton was established in 1974 and ever since, has progressed expeditiously in every aspect. We provide innovative, yet practical advice in a range of assurance, tax and specialist services to privately held businesses and public interest entities. Today, we are ranked as one of the leading accounting and consulting firms in Malaysia. We operate from our main office in Kuala Lumpur and other offices in Penang, Johor Bahru and Kuantan. Grant Thornton International is one of the world's leading organisations of independently owned and managed accounting and consulting firms providing assurance, tax and specialist advice to privately held businesses and public interest entities. The strength of each local firm is reflected in the quality of the international organisation. All Grant Thornton International member firms share a commitment to providing the same high quality service to their clients wherever they choose to do business. This guide has been prepared for the assistance of those interested in doing business in Malaysia. It does not cover the subject exhaustively but is intended to answer some of the important, broad questions...
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...Rigorous or Not?: A Case of Auditor Judgment for Deferred Tax Issues Leader’s Guide Leader’s Guide Rigorous or Not?: A Case of Auditor Judgment for Deferred Tax Issues Jan Taylor Morris, PhD, CPA Time: 3 hour unit of study Module Objectives 1. Help students understand the importance of exercising high quality professional judgment; 2. Introduce students to the KPMG Professional Judgment Framework; 3. Provide students with an opportunity to apply the framework; and 4. Provide students with the opportunity to begin developing an appropriate mindset for making good judgments. Module Learning Objectives Critical analysis of case issues and application of KPMG Professional Judgment Framework allow students to increase their: 1. Problem solving and decision making skills in an ambiguous learning environment; 2. Strategic / critical thinking as they consider the relevant issues of the case and make subjective decisions; 3. Ability to identify relevant risks associated with improper judgments; and 4. Understanding of ASC 740 and accounting for income taxes and how judgment impacts financial reporting. Module Components • Class Structure: 3 hour unit of study • PowerPoint Lecture • Case Assignment • Workpaper • Five Videos • Summary: Elevating Professional Judgment in Auditing and Accounting: The KPMG Professional Judgment Framework (available at: http://www.kpmguniversityconnection.com/ProfessionalJudgment/CurriculumSupport/Monographs/Professional-Judgment-Summary...
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...D.C.PDF file (176K) also availableUse the free Adobe Acrobat Reader to view pdf files.ISSN 0538-8759 ISBN 1-55775-535-3 | | | | Guidelines for Fiscal Adjustment Fiscal Affairs Department International Monetary FundContentsPrefaceIntroductionWhy May Fiscal Adjustment Be Needed? The Impact of Fiscal Policy on Macroeconomic Policy Objectives Inflation External Current Account Growth Fiscal Adjustment to Ensure Sustainability Links to Other Policy InstrumentsHow Should the Fiscal Stance Be Assessed? Fiscal Impact of Alternative Methods of Deficit Financing Other Measures Used to Assess the Fiscal Stance The Sensitivity of a Fiscal Assessment to the Time Frame of Analysis Definition of Government Accounts for Macroeconomic Analysis Coverage of Government Operations Timing of the Impact of Fiscal Transactions Defining the "Overall Fiscal Balance"How Much Fiscal Adjustment Is Required? A Framework for Fiscal Adjustment Determining the Amount of Fiscal Adjustment Reducing the Fiscal Deficit Quality of AdjustmentHow Should Fiscal Adjustment Be Effected? Measures to Improve the Tax System and Increase Revenue Characteristics of a Desirable Tax System Design of Major Taxes Rationalization of Expenditure Policies Expenditure Reduction in the Short Run Structural Public Expenditure ReformReferencesBoxes1. Adverse...
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