What are the specific matters of the international tax cooperation mechanism?

All tax treaties in China contain mutual consultation clauses, which constitute the legal framework for the competent authorities of both contracting States to solve tax problems through mutual consultation. Since the implementation of the 1985 El tax agreement, China's tax authorities have actively negotiated with the tax authorities of relevant countries on specific cases and solved a series of serious and extraordinarily serious tax disputes. For example, 1998, the subsidiaries established by a shipping company in China in many Asian countries are discriminated against to varying degrees, and some of them are taxed and included in the taxable scope. One country also froze the bank deposits of China companies, leaving China ships stranded in the port and paying hundreds of thousands of dollars in port use fees every day. After the company submitted the relevant case to State Taxation Administration of The People's Republic of China, we quickly negotiated with the other party, properly resolved the dispute, and recovered the economic loss for China Company. In recent years, China's tax authorities have also properly resolved: (1) the dispute between an airline in China and the Russian tax authorities on the payment of road construction tax and cultural facilities tax; (2) Tax disputes between financial institutions in China and Japanese tax authorities; (3) Disputes between Chinese-funded enterprises in China and Pakistani tax authorities on interest tax exemption.

When enterprises and individuals "go global" encounter tax problems in countries that have not signed tax agreements with China, the possibility of resolving disputes through consultation between the tax authorities of the two countries is not ruled out. In the specific work, China tried to do some work and achieved good results. For example, although there is no tax agreement between China and Uruguay, a shipping company in China successfully settled the tax dispute through friendly negotiation between China and Uruguay Tax Bureau after encountering tax problems in Uruguay.

(2) Information exchange

International tax information exchange refers to the exchange of required information between the competent authorities of the contracting parties to a tax agreement, an information exchange agreement or an agreement on mutual assistance in tax collection and management in order to implement the domestic laws and regulations corresponding to the agreement, the agreement and the taxes contained in the agreement. It is the international obligation that all contracting parties should undertake, and it is also the main way to carry out tax collection and management cooperation between relevant countries. There are two main purposes: one is to correctly implement the tax agreement by verifying some facts; The second is to assist tax treaty parties to implement their domestic tax laws. Information exchange can, to a certain extent, eliminate the contradiction between the borderless nature of taxpayers' transnational operations and the borderless nature of tax administration, and effectively combat international tax evasion and fraud, so it is one of the important contents of cooperation among tax authorities in various countries.

Information exchange is generally limited to the contracting parties that have signed tax agreements, information exchange agreements or mutual assistance agreements on tax collection and management, and rarely implements tax information exchange through domestic laws. The exchange of information must be conducted through the competent authorities, and the relevant documents for the exchange of information should be signed by the representatives of the competent tax authorities of the countries concerned. The competent tax authority in China is State Taxation Administration of The People's Republic of China, People's Republic of China (PRC). The types of information exchange include special information exchange, automatic information exchange, spontaneous information exchange, industry-wide information exchange, tax inspection in the same period and visits by authorized representatives. Special information exchange refers to the behavior that the tax authorities of one country ask specific questions about a domestic tax case according to tax agreements or other legal tools, and request the tax authorities of another country to provide relevant information to assist in verification. Automatic information exchange refers to the behavior of one country's tax authorities automatically providing taxpayers' special income information to another country's tax authorities in batches. Spontaneous information exchange refers to the act of one country's tax authorities spontaneously providing information that they think is useful to another country's tax authorities. Industry-wide information exchange refers to the behavior that the tax authorities of the parties to an agreement or agreement discuss the operation mode, capital operation mode, price determination mode and new trends of tax evasion and tax avoidance of an economic sector and exchange information with each other. Parallel tax inspection refers to the behavior that the tax authorities of two or more countries independently inspect the tax matters of taxpayers with the same or related interests in their respective countries at the same time and exchange relevant information with each other. The visit of authorized representatives refers to the behavior of a tax official of a country who is authorized by its own tax authorities, invited by or approved by other tax authorities to visit other countries on the spot to obtain the information needed for tax collection and management.

The 90 tax treaties and two arrangements signed by China all contain the clause of "information exchange" (usually Article 26), which stipulates that "in order to implement the agreements and domestic laws, the contracting parties shall exchange tax information". In 2006, the State Administration of Taxation issued the T-Work Rules for International Tax Information Exchange, which further standardized the information exchange in China.

(3) Mutual assistance in collection and management

Mutual assistance in tax collection and management first appeared in the 1980s, that is, at the request of another country, a country assisted or exercised tax jurisdiction on its behalf to realize cross-border recovery of tax arrears or other cross-border tax claims. There are two ways of mutual assistance in tax collection and management: one is mutual assistance in bilateral tax collection and management, that is, the provisions similar to or the same as Article 27 of the OECD Model Tax Agreement are included in the bilateral tax agreement, and then the two sides of the tax agreement help each other on this basis. The other is multilateral mutual assistance in tax collection and management, that is, many countries sign multilateral agreements on mutual assistance in tax collection and management, and give each other assistance on this basis. At present, there are two very influential multilateral agreements on mutual assistance in tax collection and management. One is the Agreement on Mutual Assistance in Tax Administration, which was born in Strasbourg in 1988. Any country that agrees to this Agreement may become a party to this Agreement through domestic legal procedures. Up to now, Azerbaijan, Belgium, Canada, Denmark, Finland, France, Iceland, the Netherlands, Norway, Poland, Sweden and the United States have signed the agreement. The other is the Nordic Agreement on Mutual Assistance in Tax Administration, which was born in Northern Europe in 1989. It is a multilateral mutual assistance agreement signed by Denmark, Greenland, Finland, Iceland, Norway, Sweden and other Nordic countries.

At present, mutual assistance in tax collection and management is still under further study, because it involves the supporting construction of China's domestic laws and domestic administrative measures. However, for a long time, China has actively exchanged visits with tax authorities of other countries, provided internship training opportunities, carried out technical cooperation and provided consultation, which promoted cooperation and exchanges. Therefore, these forms of exchange should belong to international tax administration and mutual assistance in a broad sense. For example, the State Administration of Taxation has successively accepted visits from tax directors of developed countries such as Britain, the United States, France and the Netherlands and developing countries such as Mongolia, Uzbekistan and Kazakhstan, and its leaders have successively visited tax authorities of the United States, Russia, France, Italy, Austria and Hungary. In March, 2007, China signed the Technical Cooperation Arrangement between State Taxation Administration of The People's Republic of China, People's Republic of China (PRC) and Dutch Customs Administration for 2007-2009 with the Dutch Customs Administration. In that year, experts were arranged to conduct tax revenue analysis and forecast and enterprise income tax consultation in China, and were sent to the Netherlands for two weeks of enterprise income tax training according to the arrangement. At the same time, China also provided assistance to developing countries such as Asia and Africa, and trained more than 100 tax collectors for these countries.

(4) Cooperation with international organizations

Since the implementation of the reform and opening-up policy in China, there have been more and more international exchanges and cooperation, and the international exchanges and cooperation in the field of taxation have become increasingly extensive and in-depth.

1. Project cooperation with the United Nations Development Programme (UNDP).

Since the reform and opening up, China and the United Nations Development Programme have carried out four projects. At present, the topics involved are: business process reengineering and technical consultation of the third phase of golden tax, local tax reform, environmental tax, non-resident management, human resource management and so on. Convene domestic seminars; Organize overseas study tours and domestic training. In addition, we also published the Collection of Achievements of UNDP Projects in State Taxation Administration of The People's Republic of China, People's Republic of China (PRC) (2006), the Collection of Achievements of UNDP Projects in State Taxation Administration of The People's Republic of China, People's Republic of China (PRC) (2007) and the Collection of Research Papers on Training Projects of UNDP Projects in State Taxation Administration of The People's Republic of China, People's Republic of China (PRC). On the one hand, we show the results of the project, on the other hand, we can share it with the relevant departments and personnel of the tax system. The implementation of the project in 2007 has provided great help for China's tax reform, system innovation, resource optimization, rational allocation and specific operation.

2. Project cooperation with the Organization for Economic Cooperation and Development (OECD).

First, the OECD research group in China actively sent personnel to participate in many meetings and activities of the five working groups of the OECD Finance Committee: tax treaty, tax policy analysis and statistics, taxation of multinational corporations, international tax avoidance and evasion, and consumption tax.

Second, China and OECD held many policy dialogues on information exchange agreements and tax agreements, invited OECD experts to introduce international practices, and put forward opinions on amending relevant policies and draft laws in these fields, which greatly promoted China's legislative decision-making and further research in these fields.

Third, several training courses were held in Yangzhou Taxation College and OECD***, including: taxation of financial instruments, tax treaties, transfer pricing guidelines, and value-added tax policy and management. As the OECD's technical assistance to China, these trainings are of great help to improve the professional quality of the tax team.

Fourth, make active use of the resources of the OECD Multilateral Training Center, and send personnel to participate in many courses organized by the OECD in Ankara, Turkey, Seoul, Korea, Vienna, Austria and Budapest, Hungary, and learn the advanced experience of the OECD in transfer pricing, tax treaty negotiation, tax preference, tax policy model, tax treaty, tax audit of small and medium-sized enterprises, tax analysis of financial instruments, international anti-tax avoidance and tax evasion, audit of multinational companies and management of non-residents.

Through the technical assistance of OECD, China has been helped and improved in many fields. For example, through the exchange with OECD experts, we have a deeper and clearer understanding of the concepts of abandoning residence taxation and cross-border property loss deduction in the implementation of the agreement, and have a clearer understanding of the relationship between the agreement and domestic law, which is conducive to better implementing the tax agreement and safeguarding China's tax rights and interests; In the field of anti-tax avoidance, through exchange and study, I have mastered the basic means and identification skills of transnational malicious tax planning, and discussed the countermeasures with my international counterparts. In tax audit, through training, we have learned a variety of audit methods, such as gross profit margin method, capital comparison method, cash balance method, method test method and so on. Understand the tax audit procedures of the European Union, and fully feel the popularization and perfection of computerized (EDP) audit in OECD member countries.

3. Cooperation with other international organizations and regional tax organizations.

Organized and participated in the 2007 annual consultation of the International Monetary Fund (IMF) led by the People's Bank of China; In addition, participants also participated in the 2007 "Financial Planning and Policy Course" (Dalian) and "Natural Resource Tax and Fiscal Transparency Course" (Washington) jointly organized by the People's Bank of China and IMF. He also participated in a series of international cooperation activities such as the China-Africa Cooperation Forum led by the Ministry of Foreign Affairs.

In cooperation with regional tax organizations, we sent delegations to participate in the Lisburg Conference Mechanism (LCG), the annual meeting of Asian tax management and research organizations, joint training and working meetings, the Asian tax forum, the United Nations Committee of International Tax Experts and the United Nations Conference on Development and Financing, the annual meeting and executive committee meeting of the International Finance Association (IFA), the Inter-American Tax Administration Center (CIAT), the European Tax Administration Organization and the Commonwealth Tax Administration Organization.