Corporate form and international taxation of box corporations

The phenomenon of the Box Corporation has previously not been the subject of a specialized investigation from the fiscal perspective. A foreign subsidiary indirectly owned in a third country jurisdiction is in the thesis classified as a Box Corporation. The subject of the thesis is primarily to analyze and establish the following connections: the intended corporate objectives and ends and the mod1fs operandi and the means that often require the Box Corporation as a necessary vehicle to attain those ends. The close connections between corporate law and tax law as intended legal results interdependent on one another. The application of the phenomenon of the Box Corporation as an important vehicle for international tax planning by Swedish corporate groups on ever increasing competitive international markets and the special tax problems connected to the Box Corporation as it presents serious challenges to the pursuits for a consistent, neutral and undistorted Swedish corporate tax system. The thesis also investigates legislative and regulatory public reactions to the Box Corporation in the ways of CFC tax provisions, of denying tax treaty privileges by Limitation of Benefits clauses and of increasing domestic requirements on reportable transactions and international exchange of information and co-operation. The thesis analyses resulting tensions, in effect, between predictable legal results by literal interpretation of law based on form and economic realities based on substance as fundamental matters of tax policy. Roland Dahlman, jur. kand. (Stockholm University), Master of Laws (Harvard University), Swedish advokat and author of Dahlman-Fredborg: Internationell Beskattning (International Taxation) I and II.