Tax CMS & International Taxation

Fundamentals and Requirements for a Tax CMS

• Definition and Purpose of a Tax CMS.
• Legal framework (e.g., IDW PS 980, Section 153 of the German Fiscal Code (AO), Federal Ministry of Finance (BMF) letter).
• Elements of an Effective Tax CMS.
• The Role of Documentation and Verifiability.

Features and Elements of an International Tax CMS

Tax CMS & International Tax Law

Tax CMS & Mobility Without Borders – Employee Mobility, Business Locations, Payroll Tax

• Introductory Case Study: Tax Principles/Background. 
• Employee Mobility and Related Tax Risks:
  Tax Risks Associated with Assignments and Business Travel.
  Long-Term Projects or Working from Home Abroad.
  Cross-Border Granting of Powers of Attorney.
• Identification and Classification of Tax Risks.
• Implementing measures to manage and minimize risk.
• Processes: Implementation of measures within the company and alignment of actual processes with target processes.
• Practical Checklist (including Target Processes): Employee Mobility in Tax CMS.

Tax CMS & Transfer Pricing

• Introductory Case Study: Tax Principles/Background.
• Transfer pricing and related tax risks:
  Tax risks arising from corporate structure (e.g., matrix organization).
  Restructuring (e.g., transfer of functions), lack of or inappropriate compensation for intra-group business relationships.
  Lack of or insufficient documentation of intra-group business relationships.
• Identification and Classification of Tax Risks.
• Implementing measures to manage and minimize risk.
• Processes: Implementation of measures within the company and alignment of actual processes with target processes.
• Practical Checklist (including Target Processes): Transfer Pricing in Tax CMS.

Tax CMS & Withholding Tax

• Introductory Case Study: Tax Principles/Background.
• Issues relevant to withholding tax and associated tax risks:
  Failure to withhold tax or failure to withhold it on time.
  Absence of a tax clause in the supplier or customer contract.
• Identification and Classification of Tax Risks.
• Implementing measures to manage and minimize risk.
• Processes: Implementation of measures within the company; key interfaces; alignment of actual processes with target processes.
• Practical Checklist (including Target Processes): Withholding Tax in Tax CMS.