INTRODUCTION

CHAPTER ONE:Jurisdiction to Tax

1.0 The National Perspective

1.1 Nationality

1.2 Residence

1.2.1 Individual Residence

（a） Possession of a Home

（b） Possession of a Permanent Place of Abode

（c） Physical Presence

1.2.2 Corporate Residence

（a） Place of Incorporation and Registration

（b） Place Where the Business is Carried on

（c） Place Where the Central Management and Control is Exercised

1.3 Source of Income

1.3.1 Income from Employment

1.3.2 Income from Trading and Professional Activity

1.3.3 Interest, Dividends, Rents and Royalties

1.4 The International Dimension in the Exercise of Tax Jurisdiction

1.4.1 Extraterritoriality of Tax Jurisdiction

1.4.2 International Double Taxation

CHAPTER TWO:Allocation of Multi-jurisdictional Income

2.0 Finding the Formula

2.1 Treaty Allocation of Income

2.1.1 The Historical Background

（a） The League of Nations Models

（b） The OECD Model

（c） The British Colonial Model

（d） Alternative Regional Models

（e） The US Model Income Tax Treaty

（f） The UN Model Convention

2.2 The Significance of the OECD and UN Model

2.2.1 Taxation of Profits from Enterprises with Business Operations Abroad

2.2.2 The Taxation of Interest, Royalties and Dividends

（a） Internst

（b） Royalties

（c） Dividends

2.2.3 Shipping and Air Transpofi Profits

CHAPTER THREE:Taxing Foreign Investment Income in Developing Countries

3.1 Forms of Foreign Investment

3.1.1 The Subsidiary Company

3.1.2 Foreign Branch or Agency

3.1.3 Joint Ventures

3.1.4 Service Contracts

3.1.5 Others

3.2. Tax Incentives for Foreign Investment

3.2.1 Treaty Relief from Double Taxation

3.2.2 Tax Treaties by Five Developing Countries

（a） Treaties Following the OECD Model

（b） Treaties Following the UN Model

（c） Treaty Position on the Taxation of Income from Dividends, Interest, and Royalty Income

3.3 Treaties with Developing Countries: An Overview

3.4 The Incentive Factor

3.4.1 Blanket Incentives

（a） Tax Holidays

（b） Exemption from Import and Excise Duties

（c） Exemption from Withholding Taxes

3.4.2 Investment Allowances

（a） General Exemption

（b） Re-investment Allowances

（c） Allowances for Export Trade

3.4.3 Special Arrangements with Tax-payers

3.5 Unilateral Relief from DoubleTaxation

3.6 Non-tax Incentives

3.6.1 Legal Protection of Foreign Investments

3.6.2 Access to Foreign Currency

3.6.3 Patent and Trademark Protection

3.6.4 Access to Local Credit Facilities

3.7 Do incentives Influence Investment?

CHAPTER FOUR:Enforcement and Administration

4.1 Foreign Investors Compliance with Host Country’s Tax Laws

4.1.1 Transfer Pricing

4.1.2 Non-continuity of Activity

4.1.3 State Agreements Constraining the Taxation Authority

4.1.4 Misrepresentation of Information

CHAPTER FIVE:CONCLUSION

Appendix Ⅰ Tax Treaty Comparison Chart

Appendix Ⅱ Company Responses to Incentives - Tanzania

Appendix Ⅲ Company Responses to Incentives - PNG

Appendix Ⅳ Memorandum of Understanding Tanzania/Japan

Appendix Ⅴ Tax Exemption Order

BIBLIOGRAPHY

SUBJECT INDEX