Course syllabus MDP - International Tax Planning (ŠAVŠ - WS 2018/2019)

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Course title:
International Tax Planning
WS 2018/2019
Course supervisor:
Supervising department:
Department of Finance and Accounting (ŠAVŠ)
Prerequisites for registration:
Time allowance:
full-time, 2/1 (hours of lectures per week / hours of seminars per week)
Type of study:
usual, consulting
Form of teaching:
lecture, seminar
Mode of completion and credits:
Exam (4 credits)
Course objective:
The objective of the course is to form the overall picture of taxation and tax policy with the emphasis on the international taxation and tax harmonization in the European Union. During the course students get acquainted with the practical knowledge necessary for tax optimization in the context of the Czech tax system and double tax treaties.
Course methods:
The full-time course consists of theoretical lectures and seminars. The part-time courses are based on tutorial sessions with the lecturer. During the term, several case studies and exercises are elaborated.
Course content:
Introduction. Double taxation. Sources of International Tax Law (Domestic legislation, Tax Treaties, EU Law), (allowance 2/1)
Reasons and mechanism of double taxation
Comparison of various types of Double tax treaties

Tax residency. Elimination of double taxation. (allowance 2/1)
a.Change of tax residency. Habitual abode.
b.Tax residency in various types of Double tax treaties.
Place of effective management
Methods of elimination of double taxation.
Specific treatment of double taxation elimination in domestic legislation

Active income (allowance 2/1)
a.Employment income, Remunaretion of statutory representatives
Income from independent activities, entertainers, sportspersons
c.Income of students, teachers,pensions, government service
d.Non-discrimination clause, progressive taxation

4.Business profits - permanent establishment (allowance 2/1)
definitions, consequences, types in domestic legislation and various Double tax treaties
branch vs repre office vs permanent establishment
tax transparent entity base of the permanent establishment based on various Double tax treaties and domestic legislation

Passive income I (allowance 2/1)
a.profit shares (dividend) - Double tax treaties, EU Directives and domestic legislation
b.immovable property - rental income and capital gains according to Double tax treaty and domestic legislation
movable property - capital gains according to Double tax treaty and domestic legislation

Passive income II (allowance 2/1)
Interest, royalty - Double tax treaties, EU legislation and domestic legislation
Withholding tax and tax securement
Concept of beneficiary ownership

Anti tax avoidance principles I (allowance 2/1)
a.Definitions, types and consequences according to the Double tax treaties, EU legislation and domestic legislation
Interest deductibility limitations (general, thin capitalisation, purpose of financial instrument)
Limitations of advantageous treatment/rate based on the Double tax treaty and domestic legislation
Exit taxation

Anti tax avoidance principles II (allowance 2/1)
Substance over form principle - definition, consequences, relating court decisions
Abuse of law - definition, consequences, relating court decisions

Anti tax avoidance principles III (allowance 2/1)
CFC rules - term, definition, EU and domestic legislation
Hybrid mismatches - term, types, EU and domestic legislation
Reporting duty - Country by Country Reporting, Enclosures to final accounts/tax return, other reporting duties

Transfer pricing (allowance 2/1)
a.term, consequences, history
arm's length principle
c.OECD guidelines, Double tax treaties and domestic legislation

Tax harmonization I (allowance 2/1)
levels of harmonization, history, trends, types
Harmonization of direct tax - EU Directives
Mergers, Consolidated tax base,

Tax harmonization II (allowance 2/1)
a.Harmonization of custom and excise duty - TARIC
VAT harmonization - basic principle, reverse charge, intracomunity supply, export/import, determination of the place of taxable supply, Mini one stop shop

Learning outcomes and competences:
After completing the course, student:
Will apply the basic principles of international taxation in practice
Will determine the method of avoiding double taxation in defined situation
-Will identify the key factors necessary for tax optimization for the group of companies
Will select appropriate information sources and collect enough background material necessary for tax structuring

Teaching methods and workload (hours of workload):
Type of teaching method
Daily attendance
Direct teaching
     Attendance of lectures24 h
     Attendance of courses/seminars/tutorials
12 h
     Consultations with teacher (part-time form of study)
0 h
     Course reading and ongoing preparation
28 h
     Composing of individual (seminar) work
0 h
     Composing of presentation
20 h
     Preparation for final oral exam
28 h
112 h
Assessment methods:
Requirement typeDaily attendance
Term paper
0 %
50 %
Final oral exam
50 %
100 %
Course completion:
- Presentation at seminar
- Oral exam
Support for combined/distance forms of study:
-- item not defined --
Reading list:
Language of instruction: Czech
SKALICKÁ, H. Mezinárodní daňové vztahy. 3rd ed. Praha: Wolters Kluwer, 2016. 304 p. ISBN 978-80-7552-400-3.
NERUDOVÁ, D. -- ŠIMÁČKOVÁ, K. Modelová smlouva o zamezení dvojího zdanění příjmů a majetku - stručná verze. Praha: Wolters Kluwer ČR, 2009. 448 p. ISBN 978-80-7357-480-2.
Language of instruction: English
LANG, M. Introduction to the Law of Double Taxation Conventions. 2nd ed. Wien: Linde, 2013. ISBN 978-3-7073-2196-8.
Model Tax Convention on Income and on Capital.: Condensed version 15 July 2014. Paris: OECD Publishing, 2014. ISBN 978-92-64-21115-5.

Smlouvy o zamezení dvojímu zdanění, směrnice a nařízení EU, daňové zákony v účinném znění
Language of instruction: Czech
SOJKA, V. Mezinárodní zdanění příjmů.: Smlouvy o zamezení dvojího zdanění a zákon o daních z příjmů. 3rd ed. Praha: Wolters Kluwer Česká republika, 2014. ISBN 978-80-7478-034-9.
Language of instruction: English
RUSSO, R. -- MERKS, P. -- FINNERTY, C. Fundamentals of International Tax Planning. Amsterdam: IBFD, 2007. 252 p. ISBN 978-90-8722-016-7.

Study plans:
Field of study N-EM-FRP Corporate Finance Management in the Global Environment, full-time form, initial period WS 2017/2018, place of teaching Praha
Field of study N-EM-GPFRE Corporate Finance Management in the Global Environment, full-time form, initial period WS 2017/2018, place of teaching Mladá Boleslav
Run in the period of:
WS 2020/2021, SS 2019/2020, WS 2019/2020, SS 2018/2019, SS 2017/2018, WS 2017/2018 (and older)
Course tutor:
Ing. Aranka Bergnerová (examiner, instructor, lecturer)
doc. Ing. Jiřina Bokšová, Ph.D. (supervisor)
Ing. Lukáš Moravec, Ph.D. (examiner, instructor, lecturer)
Teaching language:
Czech, English
Room: Mladá Boleslav, Praha

Last modification made by Ing. Lucie Bydžovská on 09/20/2018.

Type of output: