scholarly journals INTERPRETATION ISSUE OF THE PRINCIPAL PURPOSE TEST

2020 ◽  
Vol 3 (2) ◽  
pp. 12-19
Author(s):  
Vita Apriliasari

The existence of tax treaties has raised a base erosion and profit shifting (BEPS) concern through the circumvention of the provisions of those treaties. Consequently, following the release of the BEPS Action 6 Final Report by the Organisation for Economic Co-operation and Development, the Principal Purpose Test (PPT) has been introduced as a general anti abuse rule (GAAR) for tax treaties. As a BEPS action minimum standard, the PPT clauses are considered sufficient to prevent tax treaty abuses. However, since there has been no sufficiently clear guidance to the PPT implementation, several interpretation issues seem to arise. This situation is likely to put uncertainties for both tax administrations and taxpayers. This article aims to provide a literature review of the PPT clauses interpretation so as to help them to further address such issues. The discussion focuses on 4 (four) main elements of the PPT, (1) the interpretation of the phrase “one of the principal purposes”; (2) the reasonableness element; (3) the object and purpose of the relevant treaty provision; and (4) the burden of proof of the PPT.

2016 ◽  
Author(s):  
Michael Villaran ◽  
◽  
Meng Yue ◽  
Robert Lofaro ◽  
Athi Varuttamaseni ◽  
...  

Significance The rulings come as the EU advances legislation to increase transparency on corporate tax rulings and after the G20 on October 9 endorsed the new OECD Base Erosion and Profit Shifting (BEPS) framework for countering corporate tax avoidance. Impacts These EU rulings suggest similar decisions are imminent involving Apple in Ireland and Amazon in Luxembourg. The rulings will inspire further challenges to similar arrangements; they are the major threat to similar policies. Most BEPS measures will require changes to bilateral tax treaties and could face national-level delays or rejections. Monitoring of BEPS implementation will commence, but compliance will be voluntary and thus limited.


ICSID Reports ◽  
2021 ◽  
Vol 19 ◽  
pp. 649-689

649Procedure — Amicus curiae — ICSID Arbitration (Additional Facility) Rules, Article 41(3) — Whether the non-disputing party’s submission provided assistance to the tribunal — Whether the non-disputing party’s submission addressed matters within the scope of the dispute — Whether the non-disputing party had a significant interest in the arbitration — Whether there was public interest in the subject matter of the arbitration — Whether the non-disputing party’s submission created disruption, burden or prejudice affecting the disputing parties — Whether the non-disputing party complied with disclosure requirementsProcedure — Seat of arbitration — Lex loci arbitri — Whether the tribunal was bound to select a seat of arbitration in the State of either party — Whether the tribunal should consider laws of the proposed seat of arbitration regarding arbitrator immunity or quorum requirements — Whether municipal law regarding deference to executive interpretation of treaty law in the event of judicial review of an arbitral award weighed against a proposed seat of arbitrationJurisdiction — Investment — Foreign investor — Meaning of “relating to” — NAFTA, Article 1101 — NAFTA, Article 1116 — NAFTA, Article 1117 — NAFTA, Article 1139 — Whether the challenged measure related to an investment or an investor — Whether “relating to” required a legally significant connection under municipal law or merely an effect in fact — Whether the claimants’ ability to sell other products was relevant to assessment of jurisdictionJurisdiction — Investment — Applicable law — Res judicata — NAFTA, Article 1139 — NAFTA, Article 1136(1) — Whether the concept of res judicata was applicable to NAFTA arbitrations — Whether the conditions were met for res judicata — Whether res judicata could create issue estoppel based on the reasoning of a prior award or only the operative parts of the prior award — Whether distinctions existed between the investment at issue in the prior award and the present arbitrationJurisdiction — Investment — NAFTA, Article 1139 — Intangible property — Whether a marketing authorisation was an investment made in the territory of the host StateEvidence — Burden of proof — Most-favoured-nation treatment — National treatment — Document production — Whether the evidential burden of proof can shift from the claimant to the respondent due to limited document productionNational treatment — NAFTA, Article 1102 — Whether the domestic comparators had been afforded more favourable treatment — Whether the domestic comparators were in like circumstances to the claimants650Most-favoured-nation treatment — NAFTA, Article 1103 — Whether foreign comparators had been afforded more favourable treatment — Whether foreign comparators were in like circumstances — Whether the claimants had been targeted by authorities for political reasons — Whether the conduct of the claimants distinguished their circumstances from foreign comparatorsMinimum standard of treatment — NAFTA, Article 1105 — Customary international law — Public health — Due process — Whether the minimum standard of treatment under customary international law required regulatory due process — Whether there was evidence of State practice in favour of regulatory due process forming part of the minimum standard of treatment — Whether an international tribunal should defer to regulatory bodies responsible for protecting public health — Whether regulatory conduct met the required threshold of severity and gravityMost-favoured-nation treatment — NAFTA, Article 1103 — Minimum standard of treatment — NAFTA, Article 1105 — Non-impairment — Effective means of protection — Whether importing standards of non-impairment and effective means of protection from a BIT would provide more favourable protection than the minimum standard of treatment — Whether a standard of non-impairment would have produced a different outcome for the claimants — Whether the standard of effective means of protection in judicial proceedings applied to a regulatory contextCosts — Loser pays — Whether the tribunal should apply the principle that the loser pays — Whether any party had increased costs by proposing or resisting bifurcation


Author(s):  
Lara Maestro ◽  
Daniel James Chadwick

Abstract Introduction: As part of the Truth and Reconciliation Commission of Canada’s (TRC) Final Report on the history and legacy of residential schools in Canada, ninety-four (94) Calls to Action were identified. Of those, seven are health-specific. The objective of this research paper is to determine how Canadian health library websites are responding to these calls to action. Methods: The authors conducted an initial literature review to gain an understanding of the context of Indigenous health in Canada. A content analysis of Canadian health library websites was conducted to track mentions of the TRC and their responses to the need for Indigenous-focused resources. Results: The results of content analysis indicated few online responses to the TRC’s Calls to Action from Canadian health libraries. Only thirty-three per cent of Canadian health libraries had content that was Indigenous-focused, and only about fifteen per cent of health libraries had visible content related to the TRC’s Calls to Action. Academic and consumer health libraries were more likely to have both TRC- and Indigenous-focused content. Discussion: Nuances related to the research question resulted in some challenges to research design. For example, website content analysis is an imperfect indicator of real-world action. Limitations in research design notwithstanding, visibility is an important part of conveying commitment to the TRC, and the information available indicates the Canadian medical community is not living up to that commitment. Conclusion: Canadian health libraries need to do more to show a visible commitment to the TRC’s Calls to Action.


2018 ◽  
Vol 2018 (1) ◽  
pp. 31-48 ◽  
Author(s):  
David Kleist

Abstract The Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (MLI), which was signed in June 2017, raises a multitude of questions relating not only to the text of the treaty provisions but also to the way the MLI will interact with tax treaties, for instance, and what it will mean for the future development of tax treaty law and international cooperation in tax matters. This article focuses on two aspects of the MLI. First, it deals with the substance of the MLI by providing an overview of its background and content, including the many options available to the contracting states under the MLI. Second, some thoughts are presented on the effects of the MLI in terms of complexity and uncertainty.


Author(s):  
Alessandra Matias Araújo ◽  
Kauikwagner Jales ◽  
Francinaldo Montenegro Barbosa ◽  
Zilmara Kelly Firmino dos Santos ◽  
Jefferson Silva de Barros Santos

This article deals with the methodological practices applied by the teacher to the teaching of literature at the Elementaryl level. The objective is to carry out an investigation about some of the main questions concerning the use of such methodologies in literary text. We analyze the main theoretical and practical aspects related to the importance, the character, the functionality of the method and some peculiarities regarding its application, considering the prescriptions of the normative documents. Next, we reflect on the commitment of the teacher and the efforts of the students regarding the reception to the literary text. As a theoretical contribution to the discussions we did a literature review on aspects Bordini and Aguiar theory (1993), Cosson (2014), Colomer (2007) and Lopes (1994) among others. The activities used to collect the data of the field research consisted of the observation of practical classes, whose focus was on the use of Didactic Sequences applied to work with the genre poem in the classroom and an interview with teachers of the public education. Results indicated that the main positive aspects concerning the method used to work with literary text were highlighted in the final report. In addition to that, it showed that it is vital that teachers use appropriate methodological guidelines, which will assist him in the didactic processes including the choice of an appropriate method, respecting the student’s age group and its experiential context.


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