Summary: 1. BEPS • Action 8 (transfer pricing aspects of intangibles) • Action 2 (hybrid mismatch arrangements) • To access all of the public comments on the Action 2 discussion draft, visit BEPS Central 2. Cases • India: Velti - Definition of "fees for technical services" - Fee paid to South African telecom company for bulk text messaging - For information: K.R. Sekar (Bangalore): krsekar@deloitte.com • Brazil: Vale - Brazil's CFC rules vs. treaties - Held that Article 7 of relevant treaties prevents application of domestic law CFC rules - To obtain a copy of our analysis of the Vale case in World Tax Advisor (9 May 2014), visit: www.deloitte.com/ap/dbriefs/bytes - For information: Marcelo Natale (Sao Paulo): mnatale@deloitte.com 3. China • Bulletin 24: "entrusted investment" structures - To obtain a copy of our Tax Newsflash, visit: www.deloitte.com/ap/dbriefs/bytes • VAT pilot scheme - Extends to telecommunications sector effective 1 June 2014 - Two VAT rates: 11% / 6% - For information: Vicky Wang (Shanghai): vicwang@deloitte.com.cn Ye Hong (Shanghai): hoye@deloitte.com.cn 4. APEC: Fund Passport • Joint consultation paper • Public comments requested by 11 July 2014 • To obtain a copy of the paper, visit: www.deloitte.com/ap/dbriefs/bytes • For information: Rohit Shah (Singapore): roshah@deloitte.com 5. In brief • OECD: exchange of information • Treaties - Singapore / Barbados - Pakistan / Czech Republic • Australia - Dividend washing: TD 2014 / 10 - Budget: 13 May 2014 - For information: David Watkins (Sydney): dwatkins@deloitte.com.au • India - Nokia: Tamil Nadu VAT assessment • Mergers - Corporate inversions
