Innovation and Taxation: A Fundamental Approach to Nexus in BEPS Action 5 and 1

Esperanza Buitrago Diaz

Innovation and Taxation: A Fundamental Approach to Nexus in BEPS Action 5 and 1

Research output: Chapter in Book/Report/Conference proceeding › Chapter › Academic

Abstract

In this work I discuss (i) reductions limiting the net return (deductions, withholdings on gross income and allocation of income to the source state) and, (ii) issues related to the treaty characterization of software, digital products and automated digital services. In that turbulent scenario, my research shows that the supply side of innovation needs urgent attention from an academic and a policy perspective.
While this research presents a fundamental and different approach to innovation
and taxation, it invites to reconsider the impact of BEPS Actions 1 and 5 through
the lens of innovation policy, with a particular reference to the European Union
and in some cases to less economically developed countries.

Original language	English
Title of host publication	Tax Nexus and Jurisdiction in International and EU Law
Editors	Edoardo Traversa
Place of Publication	Amsterdam
Publisher	IBFD
Chapter	5
Pages	85-140
Number of pages	55
ISBN (Electronic)	9789087227975
ISBN (Print)	9789087227968
Publication status	Published - Nov 2022
Event	Webconference \| Nexus and Jurisdiction in EU and International Tax Law: Open Roundtable “Nexus and developing countries : the impact of OECD Pillar I and II” - Online, Louvain, Belgium Duration: 17 Sept 2020 → 18 Sept 2020 https://uclouvain.be/fr/instituts-recherche/juri/crides/evenements/the-15th-greit-annual-conference-online.html

Publication series

Series	GREIT Conference Series
Volume	1

Conference

Conference	Webconference \| Nexus and Jurisdiction in EU and International Tax Law
Abbreviated title	GREIT 2020
Country/Territory	Belgium
City	Louvain
Period	17/09/20 → 18/09/20
Internet address	https://uclouvain.be/fr/instituts-recherche/juri/crides/evenements/the-15th-greit-annual-conference-online.html

Keywords

Digital economy
nexus
innovation
International taxation

Cite this

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title = "Innovation and Taxation: A Fundamental Approach to Nexus in BEPS Action 5 and 1",

abstract = "In this work I discuss (i) reductions limiting the net return (deductions, withholdings on gross income and allocation of income to the source state) and, (ii) issues related to the treaty characterization of software, digital products and automated digital services. In that turbulent scenario, my research shows that the supply side of innovation needs urgent attention from an academic and a policy perspective. While this research presents a fundamental and different approach to innovation and taxation, it invites to reconsider the impact of BEPS Actions 1 and 5 through the lens of innovation policy, with a particular reference to the European Union and in some cases to less economically developed countries.",

keywords = "Digital economy, nexus, innovation, International taxation",

author = "{Buitrago Diaz}, Esperanza",

year = "2022",

month = nov,

language = "English",

isbn = "9789087227968",

series = "GREIT Conference Series",

publisher = "IBFD",

pages = "85--140",

editor = "Edoardo Traversa",

booktitle = "Tax Nexus and Jurisdiction in International and EU Law",

note = "Webconference | Nexus and Jurisdiction in EU and International Tax Law : Open Roundtable “Nexus and developing countries : the impact of OECD Pillar I and II” , GREIT 2020 ; Conference date: 17-09-2020 Through 18-09-2020",

url = "https://uclouvain.be/fr/instituts-recherche/juri/crides/evenements/the-15th-greit-annual-conference-online.html",

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TY - CHAP

T1 - Innovation and Taxation

T2 - Webconference | Nexus and Jurisdiction in EU and International Tax Law

AU - Buitrago Diaz, Esperanza

PY - 2022/11

Y1 - 2022/11

N2 - In this work I discuss (i) reductions limiting the net return (deductions, withholdings on gross income and allocation of income to the source state) and, (ii) issues related to the treaty characterization of software, digital products and automated digital services. In that turbulent scenario, my research shows that the supply side of innovation needs urgent attention from an academic and a policy perspective. While this research presents a fundamental and different approach to innovation and taxation, it invites to reconsider the impact of BEPS Actions 1 and 5 through the lens of innovation policy, with a particular reference to the European Union and in some cases to less economically developed countries.

AB - In this work I discuss (i) reductions limiting the net return (deductions, withholdings on gross income and allocation of income to the source state) and, (ii) issues related to the treaty characterization of software, digital products and automated digital services. In that turbulent scenario, my research shows that the supply side of innovation needs urgent attention from an academic and a policy perspective. While this research presents a fundamental and different approach to innovation and taxation, it invites to reconsider the impact of BEPS Actions 1 and 5 through the lens of innovation policy, with a particular reference to the European Union and in some cases to less economically developed countries.

KW - Digital economy

KW - nexus

KW - innovation

KW - International taxation

UR - https://www.ibfd.org/shop/book/tax-nexus-and-jurisdiction-international-and-eu-law

UR - https://www.ibfd.org/sites/default/files/2022-12/20_007_tax_nexus_and_jurisdiction_in_international_and_eu_law_proof_1.pdf

M3 - Chapter

SN - 9789087227968

T3 - GREIT Conference Series

SP - 85

EP - 140

BT - Tax Nexus and Jurisdiction in International and EU Law

A2 - Traversa, Edoardo

PB - IBFD

CY - Amsterdam

Y2 - 17 September 2020 through 18 September 2020

ER -

Innovation and Taxation: A Fundamental Approach to Nexus in BEPS Action 5 and 1

Abstract

Publication series

Conference

Keywords

Other files and links

Fingerprint

Nuevos criterios de conexión del Impuesto a la Renta: el tratamiento de patent boxes y operaciones de la economía digital (Pillar 1)

Mistrust in the IP and innovation tax boxes

Tax treaty characterisation of royalties, services, technical services and artists income

Cite this

Innovation and Taxation: A Fundamental Approach to Nexus in BEPS Action 5 and 1

Abstract

Publication series

Conference

Keywords

Other files and links

Fingerprint

Activities

Nuevos criterios de conexión del Impuesto a la Renta: el tratamiento de patent boxes y operaciones de la economía digital (Pillar 1)

Mistrust in the IP and innovation tax boxes

Tax treaty characterisation of royalties, services, technical services and artists income

Cite this