INTERNATIONAL
TAX PLANNING
COURSE MATERIALS
· Practical Guide: U.S. Taxation of International Transactions (3rd Ed.), Robert E. Meldman & Michael S. Schadewald. (CCH May 2000)
·
International Income
Taxation: Code & Regulations -- Selected Sections (2002-2003 Ed.) Richard
C. Pugh, Coordinating Editor (CCH July 2002)
·
International Taxation
in a Nutshell, 5th Ed. Richard Doernberg (West Group 2001) [recommended]
The "Selected Sections" contain most of the provisions of
the Code with which we shall be dealing during the course of the semester.
Additional materials will be distributed periodically.
Weekly assignments will also appear on the “Assignment” page of the
Webcourse.
WRITING REQUIREMENTS
The seminar has been designed with a view to facilitating your
successful completion of a three hour open book exam. The exam will require
problem solving that is very similar to work that you can expect to be asked to
perform if you decide to enter private practice as an associate in a law firm.
The written requirements of the seminar will be the basis of 70% of your
grade in the seminar.
CLASS PROCEDURES
The success of any seminar depends primarily upon the contributions of
its members. Since we shall meet as a seminar, each of you is expected to carry
a substantial responsibility for advancing our discussion and understanding. You
will periodically be asked to undertake particular tasks with respect to various
problems or exercises. Even if you do not have an assigned role, however, you
will be expected to participate in seminar discussion and debate.
Many of the responsibilities for class presentations will be assigned to
"working groups" consisting of two students. I shall assign students
to various working groups and shall endeavor to assure that the workload is
evenly divided during the semester. In addition, we will periodically have guest
lecturers join us from the private sector.
There is always a chance that illness or other circumstances will cause
you to miss a session or to come without full preparation. Each of you may have
one "bad day" during the course of the semester. If you advise me in
advance of the session, your absence or failure to participate will not bear any
adverse consequences.
Class participation will account for 30% of your grade in the seminar.
EXAMINATION
An open book examination of three (3) hours will be given at the
end of the course. Students may take with them into the examination any books,
outlines or notes they have used during the semester.
PREREQUISITES AND RECOMMENDATIONS
Tax I is a prerequisite for this course. We shall often be dealing with
rules with constitute specific applications of or exceptions to the principles
that you have studied in Tax I.
NOTE
FOR READING ASSIGNMENTS
For all assignments, skim all Code
sections and Regulations mentioned in the assigned readings including those in
the footnotes.
ASSIGNMENTS
WEEK
1
(M):
Introduction to Course
Chapter One [Tax Jurisdiction]
Paragraph 101
Case Study 1
Slides (Mod 2)
(W): Chapter One
Paragraphs 102-103
WEEK
2
(M): NO CLASS
(W): Chapter One
Paragraphs 104 & 105,
Skim Appendix at 106
WEEK
3
(M): Chapter Two [Source of Income
Rules]
Paragraphs 201 & 202
Slides (Mod 3)
(W): Chapter Two
Paragraph 203
Chapter 2 Problems:
#
1(a)
& 2(a)
#
1(b)
& 2(b)
#
1(c)
& 2(c)
#
3
WEEK
4
(M):
Chapter Two
Chapter Two Problems:
# 4(a)
# 4(b)
# 4(c)
Paragraphs 301-303
Slides
(Mod 4)
Read Either:
Tracy
A. Kaye, The U.S. Perspective on Electronic Commerce
J.
Clifton Fleming, Jr., U.S. Taxation of Profits from Internet Software Sales
-- An Electronic Commerce Case Study.
(W):
Chapter Three
Paragraphs 304 – 310
Chapter Three Problems:
# 1
# 2
WEEK
5
(M): Finish Chapter Three;
Chapter Four [Deemed Paid Foreign Tax Credit]
Paragraphs 401-402
Slides (Mod 5)
(W): Chapter Four
Paragraphs 403- 405
Chapter Four Problems:
#1
#2
WEEK
6
(M): Chapter Four
Chapter Four Problems:
#3
(W):
Chapter Six [Anti-Avoidance Provisions Governing Foreign Corporations]
Paragraphs 601-605
Slides (Mod 8)
Chapter Six Problems:
#1
WEEK
7
(M): Chapter Six
Paragraphs 606-608
Chapter Six Problems:
#2 1st half
(W): Chapter Six
Chapter Six Problems:
#2 2nd half
Case Study 1 – Problem 4
Case Study 3
Dave
Fischbein Manufacturing Co. v. IRS,
59 T.C. 338 (1972)
Bausch & Lomb Inc. v. IRS, T.C. Memo 1996-57
SPRING
BREAK (March 3 & 5)
WEEK
8
(M): Chapter Six
Paragraphs 602-603
Problems Case Study 3:
#3-2
#3-3
Case Study 2
Chapter
Nine [Tax Treaties]
Paragraphs 901-902;
(W): Chapter Nine
Paragraphs 903-905
Boulez v. IRS, 83 T.C. 584 (1984)
WEEK
9
(M) Chapter Nine
Chapter Nine Problems:
#1
#2
(W):
Finish Chapter Nine
WEEK
10
(M): Chapter Ten [Planning for
Foreign Operations]
Paragraphs 1001-1004
Slides (Mod 6)
(W): Chapter Ten
Paragraphs 1005-1008
Skim
Appendix
Chapter Ten
Problems:
# 1a and 1b
# 1c and 1d
# 1e
WEEK
11
(M): Finish Chapter Ten
Chapter
Ten Problems:
#2
Chapter Five [Transfer Pricing]
Paragraph 501
Slides
(W): Chapter Five
Paragraphs 502-505
Chapter Five Problems:
#1a
#1b
#1c
#2
#3
WEEK
12
(M): Guest Lecturer:
Read: Transfer Pricing: Keeping it at Arm's Length by John
Neighbour, Center for Tax Policy and Administration [link available in Course
Documents]
Review: OECD Website for general developments in the area of
Transfer Pricing [link available in Course Documents]
(W): Chapter Eleven [Foreign Persons Investing in the United States]
Paragraphs 1101-1102
Slides
WEEK
13
(M): Chapter Eleven
Paragraphs
1103-1104;
Read: BEING AN
NQI IN A 'QI WORLD' 22 TNI 2139.
Chapter Eleven
Problem
Case
Study 1:
#3 & 4
#5
(W): Chapter Thirteen
SUPPLEMENT paragraphs 1301-1321;
Skim
Appendix 1322.
Chapter 13
Problems:
#1
#2
WEEK
14
(M): Guest Lecturer: Lee Sheppard, Tax Notes, on Tax Shelters and Privilege
(W): No Class Professor Kaye is attending U.S. Tax Courts Conference.
WEEK
15
(M):
Chapter Twelve [Foreign Persons Doing Business in the United States]
Paragraphs 1201-1205
Slides
(Mod 13)
Chapter 12
problems