Contents
Introduction
PART I - POLICY AND PRINCIPLES
Chapter 1 - Background
- Historic focus on the problem of double taxation
- The problem of double non-taxation
- G20/OECD Action Plan
- Hybrid mismatch arrangements
- OECD recommendations
- Implementation of OECD recommendations
Chapter 2 - Hybrid mismatch arrangements
Chapter 3 - Policy issues
- Global impact of hybrid mismatch arrangements
- Uptake in other countries
- Impact of hybrid mismatch arrangements on New Zealand
Chapter 4 - OECD recommendations
PART II - DETAILS OF OECD RECOMMENDATIONS
Chapter 5 - Hybrid financial instruments
- Recommendation 2
- Recommendation 1
- Particular tax status of counterparty not relevant
- Differences in valuation of payments not relevant
- Timing differences
- Taxation under other countries’ CFC rules
- Application of rule to transfers of assets
- Regulatory capital
- Other exclusions
- Application to New Zealand
Chapter 6 - Disregarded hybrid payments
- Requirements for rule to apply
- Dual inclusion income
- Carry-forward of denied deductions
- Application of CFC regimes
- Implementation issues
- Application to New Zealand
Chapter 7 - Reverse hybrids
- Recommendation 4
- Recommendation 5
- Application in New Zealand
- Recommendation 5.3: Information reporting