{"id":9175,"date":"2020-12-31T09:50:00","date_gmt":"2020-12-31T08:50:00","guid":{"rendered":"http:\/\/www.dagtva.com\/?page_id=9175"},"modified":"2024-08-20T14:36:52","modified_gmt":"2024-08-20T13:36:52","slug":"mne-benefit-rbmag","status":"publish","type":"page","link":"https:\/\/www.dagtva.com\/?page_id=9175","title":{"rendered":"MNE benefit RBMag"},"content":{"rendered":"\n<p style=\"text-align: center;\"><a href=\"https:\/\/www.dagtva.com\/?page_id=7484\" target=\"_blank\" rel=\"noopener noreferrer\">Proposal for a Global Taxation System<\/a><\/p>\n<p style=\"text-align: center;\"><span style=\"color: #800000;\">\u00a0&#8211; DAGTVA truth table &#8211;<\/span><\/p>\n<p align=\"center\"><span style=\"color: #800000;\"><strong>DAGTVA\u00ae &#8211; Distribution of MNE profits<\/strong><\/span><\/p>\n<table>\n<tbody>\n<tr>\n<td width=\"41\"><span style=\"color: #800000;\"><strong>No.<\/strong><\/span><\/td>\n<td width=\"332\"><span style=\"color: #800000;\"><strong>Problems exposed, requests, constraints and subjects<\/strong><\/span><\/td>\n<td width=\"60\"><span style=\"color: #800000;\"><strong>Origin<\/strong><\/span><\/td>\n<td width=\"24\"><span style=\"color: #800000;\"><strong>Pg<\/strong><\/span><\/td>\n<td width=\"24\"><span style=\"color: #800000;\"><strong>Li<\/strong><\/span><\/td>\n<td width=\"72\"><span style=\"color: #800000;\"><strong>Doc<\/strong><\/span><\/td>\n<\/tr>\n<tr>\n<td width=\"41\">50<\/td>\n<td width=\"332\"><strong>M<\/strong>t<strong> A<\/strong> &#8211; Fraction of residual profit &lsquo;<strong><em>g<\/em><\/strong><em>rosso modo&rsquo;<\/em><\/td>\n<td width=\"60\">Pillar 1<\/td>\n<td width=\"24\">9<\/td>\n<td width=\"24\">10<\/td>\n<td width=\"72\">RBMag<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><strong><em><a href=\"https:\/\/www.dagtva.com\/wp-content\/uploads\/documents\/wstax\/unified_approach_dagtva.doc\" target=\"_blank\" rel=\"noopener noreferrer\">Quote<\/a> :\u00a0\u00a0<span style=\"color: #993300;\">New and revised profit allocation rules <\/span><\/em><\/strong><em>(<\/em><em><a href=\"https:\/\/www.dagtva.com\/?page_id=8916\" target=\"_blank\" rel=\"noopener\">RBRge<\/a>)<\/em><\/p>\n<p><span style=\"color: #993300;\"><em><strong>30<\/strong>. Against that background, the \u201cUnified Approach\u201d proposes the following three tier <span style=\"background-color: #ffff00; color: #ff0000;\">mechanism<\/span>:<\/em><\/span><\/p>\n<p><em><span style=\"color: #993300;\"><strong>Amount A<\/strong> \u2013 <span style=\"color: #ff0000; background-color: #ffff00;\">A new taxing right for market jurisdictions over a portion of within the scope MNE groups\u2019 deemed residual profit<\/span><\/span> (<a href=\"https:\/\/www.dagtva.com\/?page_id=9165\" target=\"_blank\" rel=\"noopener\">RBMaf<\/a> \u2013 RBMag)<span style=\"color: #993300;\">. This could potentially be calculated on a business line basis. In broad terms, <span style=\"color: #ff0000; background-color: #ffff00;\">this deemed residual profit<\/span><span style=\"background-color: #ffffff; color: #333333;\"> (RBMag) <\/span>would be the profit that remains after allocating what would be regarded as a deemed routine profit on activities to the countries where the activities are performed. <span style=\"color: #ff0000; background-color: #ffff00;\">This would be determined by simplifying conventions, and require the determination of the level of the deemed routine profit and also a decision on the proportion of the deemed residual profit<\/span> that should go to the market, which in turn would be allocated to particular markets meeting the new nexus rule through a formula based on sales<\/span> (<a href=\"https:\/\/www.dagtva.com\/?page_id=9188\" target=\"_blank\" rel=\"noopener\">RBMac<\/a>)<span style=\"color: #993300;\">. Percentages remain to be determined and would be part of the consensus-based agreement among Inclusive Framework members<\/span> (<a href=\"https:\/\/www.dagtva.com\/?page_id=9218\" target=\"_blank\" rel=\"noopener\">RBMai<\/a>).<\/em><\/p>\n<p>With <a href=\"https:\/\/www.dagtva.com\/?page_id=7563\" target=\"_blank\" rel=\"noopener noreferrer\">DAGTVA calculation of transfer prices<\/a> . As it is writted in many pages including <a href=\"https:\/\/www.dagtva.com\/?page_id=9074\" target=\"_blank\" rel=\"noopener noreferrer\"><em>RBPpi<\/em><\/a> of this proposal, <span style=\"color: #ff0000; background-color: #ffff00;\">no fraction of the profits will be attributed to a market jurisdiction until they have been able to be quantified and if, once quantified, there will remain a valid reason for taxing them<\/span>. It is a better distribution of these benefits among the States that will normally provide for this. <span style=\"color: #ff0000; background-color: #ffff00;\"><strong>There is therefore nothing to modify on direct taxation, nothing to negotiate in this area before several years.<\/strong><\/span><\/p>\n<p><span style=\"color: #800000;\"><strong>Regarding the distribution of profits :<\/strong><\/span><\/p>\n<p>As clarified on the <a href=\"https:\/\/www.dagtva.com\/?page_id=8389\" target=\"_blank\" rel=\"noopener noreferrer\"><em>RBSju<\/em><\/a> page, <a href=\"https:\/\/www.dagtva.com\/?page_id=7563\" target=\"_blank\" rel=\"noopener noreferrer\">the DAGTVA transfer pricing calculation<\/a> takes into account in the \u00ab\u00a0<strong><em>Amount A<\/em><\/strong>\u00a0\u00bb <span style=\"color: #ff0000; background-color: #ffff00;\">mechanism,<\/span> not only residual profits, but also standard, routine and intangible profits, from the moment they are invoiced, they are treated for tax purposes in the same time of the transaction, it is the advantage of the transactional system where the totality of the taxation is definitively affected for the respective shares in each State where the commercial activity takes place. And we are talking about direct taxation which can be levied without modifying existing local taxation laws.<\/p>\n<p><span style=\"color: #ff0000; background-color: #ffff00;\"><strong>There is therefore nothing to renegotiate in this area of \u200b\u200bresponsibility of each sovereign State, there is no new right to impose and modify direct taxation<\/strong>, with<strong> a simple system and the ease of having a majority international agreement in this area.<\/strong><\/span><\/p>\n<p style=\"text-align: center;\"><a href=\"https:\/\/www.dagtva.com\/?page_id=7897\" target=\"_blank\" rel=\"noopener noreferrer\">Back to the truth table<\/a><\/p>\n<p style=\"text-align: center;\"><span style=\"color: #800000;\">**********<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Proposal for a Global Taxation System \u00a0&#8211; DAGTVA truth table &#8211; DAGTVA\u00ae &#8211; Distribution of MNE profits No. Problems exposed, requests, constraints and subjects Origin Pg Li Doc 50 Mt A &#8211; Fraction of residual profit &lsquo;grosso modo&rsquo; Pillar 1 &hellip; <a href=\"https:\/\/www.dagtva.com\/?page_id=9175\">Continuer la lecture <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"parent":7897,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"footnotes":""},"class_list":["post-9175","page","type-page","status-publish","hentry"],"_links":{"self":[{"href":"https:\/\/www.dagtva.com\/index.php?rest_route=\/wp\/v2\/pages\/9175","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.dagtva.com\/index.php?rest_route=\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.dagtva.com\/index.php?rest_route=\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.dagtva.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.dagtva.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=9175"}],"version-history":[{"count":10,"href":"https:\/\/www.dagtva.com\/index.php?rest_route=\/wp\/v2\/pages\/9175\/revisions"}],"predecessor-version":[{"id":11577,"href":"https:\/\/www.dagtva.com\/index.php?rest_route=\/wp\/v2\/pages\/9175\/revisions\/11577"}],"up":[{"embeddable":true,"href":"https:\/\/www.dagtva.com\/index.php?rest_route=\/wp\/v2\/pages\/7897"}],"wp:attachment":[{"href":"https:\/\/www.dagtva.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=9175"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}