《国际税收整理》word版

课后习题整理

一．Base for international tax: country taxation

1.What is international tax? What does it mainly address?

答：International tax means a series of tax issues resulting of different tax rules and conflicting jurisdictions made by countries, and solutions. International tax in a board sense covers not only income taxes but also turnover taxes, etc.

二．International income taxation

1.How does a country generally design its income taxation system?

答：①territorial(属地): taxation only of in-country income,e.g. Hong Kong;

②residency(属人): taxation of all income of residents and/or citizens;

③exclusionary(例外): specific inclusion or exclusion of certain amounts, classes, or items of income in/from the base of taxation;

④Hybrid(混合): e.g. USA , UK

2.Why is it important to make clear source of income?

答：①in a territorial system, source often determines whether or not the income is taxed; ②source of income is also important in residency systems that grant crs for taxes of other jurisdictions.

三．Tax residence

1.What is the main difference between a tax resident and a non-tax resident for tax liability purpose?

答：①a tax resident: world-wide tax liability;

②a non-tax resident: limited tax liability.

2.Can you name some tests in determining whether a person is a resident?答：①For corporation:

place-of-incorporation test , place-of-management test,

residence-of-the shareholders test;

②For individual:

a fact-and-circumstances test/ domicile test ,

number of days test, intention test.

3.Take an example to prove how different countries apply differing tests to judge a person's residence?

答：China: for individual: domicile test , number of days test(a full year);

for corporation: place-of-incorporation test

or place-of-management test.

Ireland: for individual: number of days test(183 days) ,domicile test for corporation: now :place-of-incorporation test

past :place-of-management test.

四．Income source jurisdiction and rules

1.What is source jurisdiction?

答：It's an important form of state tax sovereignty. It determines that income from home country is subject to tax.

2.How to determine the source of employment and personal services income?答：①According to the place of proving services. For independent services, it refers to the fixed place; For dependent services, it refers to the place where services are performed.

②According to the payment place of service income.

3.How to determine the source of location of business income? What is PE?答：①There are chiefly two test: one is the PE rule , the other is the place of transaction or trade or signing contracts rule.

②PE means "permanent establishment", and it refers to a fixed place of business,such as an office, branch, factory or mine, which generally gives rise to income or value added tax liability in a particular jurisdiction, a dependent agent or an employee is also treated as a PE. And PE is an important basis to judge whether business income is taxable by a country.

4.How to determine the source of investment income?

答：①For dividend, test: residence country of the dividend payer;

②For interest, test: generally: residence country of the interest payer;

Some country: signing place of loan contract, or residence country of loaner.

③For royalties, test: place of usage; residence country of royalty owner; residence country of royalty payer.

④For rents, test: usage place of the property; signing place of renting contract; residence country of rent payer.

五.International double taxation and relief

1.What is International double taxation?

答：Double taxation occurs when tax is paid more than once by two or more jurisdictions on the same taxable income or asset ,and it can be legal or economic.

国际重复征税是指两个或者两个以上的国家、地区,对同一或不同跨过纳税人的同一跨国征税对象征收相同或相似的所得税。一般包括法律性重复征税和经济重复征税。

2.What is the main difference between legal International double taxation and economic International double taxation?

答：①Legal double taxation taxes the same taxable earning or asset.

②Economic double taxation taxes different taxpayers.

法律性重复征税：同一跨国纳税人（总公司、分公司属于同一纳税人）；

经济重复征税：总公司、分公司分属不同跨国纳税人。

3.Take an example to prove International double taxation arising from the