IBL 1-6 EXAM QUESTIONS
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Questions and Answers

The OECD tax convention provides a bilateral model, is a multilateral convention on double taxation feasible/allowed in the current international scenario?

  • yes (correct)
  • no
  • yes, for 3 countries
  • yes, for 4 countries

The Model Convention main objectives are to avoid double taxation and to prevent fiscal evasion, indicate in the list below the other possible objectives:

  • Certainty of tax treatment to investors (correct)
  • reducing corporations tax burden
  • .
  • .

The Model Convention main objectives are to avoid double taxation and to prevent fiscal evasion, indicate in the list below the other possible objectives:

  • Exchange of information (correct)
  • Taxing cross-border business in both contracting States

The Model Convention main objectives are to avoid double taxation and to prevent fiscal evasion, indicate in the list below the other possible objectives:

<p>Tax credit/relief (B)</p> Signup and view all the answers

The Model Convention main objectives are to avoid double taxation and to prevent fiscal evasion, indicate in the list below the other possible objectives:

<p>Prevent tax discrimination (A)</p> Signup and view all the answers

The Model Convention main objectives are to avoid double taxation and to prevent fiscal evasion, indicate in the list below the other possible objectives:

<p>To promote investment &amp; mutual relation (A)</p> Signup and view all the answers

The Model Convention main objectives are to avoid double taxation and to prevent fiscal evasion, indicate in the list below the other possible objectives:

<p>Allocating taxing jurisdiction (A)</p> Signup and view all the answers

The Model Convention main objectives are to avoid double taxation and to prevent fiscal evasion, indicate in the list below the other possible objectives:

<p>Easing in recovery of tax dues (B)</p> Signup and view all the answers

To what type of taxes does the model convention apply?

<p>On business income (A)</p> Signup and view all the answers

To what type of taxes does the model convention apply?

<p>On capital (C)</p> Signup and view all the answers

To what type of taxes does the model convention apply?

<p>Shipping and air transport (A)</p> Signup and view all the answers

To what type of taxes does the model convention apply?

<p>Real estate (C)</p> Signup and view all the answers

The value of the Protocol annex to the Conventions

<p>It is an integral part of the treaty, binding for the contracting States (B)</p> Signup and view all the answers

What are the main characteristics of the multinational enterprise “full-flegded business model”?

<p>is an enterprise with a relatively higher level of functions and risks in each business unit (D)</p> Signup and view all the answers

What are the main characteristics of the multinational enterprise “principal business model”?

<p>Is an enterprise with a relatively lower level of commercial functions and risks (e.g. limited risk distributors (LRD) commissionnaires, etc.) (B)</p> Signup and view all the answers

What are the main characteristics of the multinational enterprise “principal business model”?

<p>Is an enterprise with a company leading the manufacturing operations through which toll manufacturing agreements and/or contract manufacturing agreements and distributing the goods with low risk commercial business units (B)</p> Signup and view all the answers

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