Should the OECD and its material be adopted by Egypt?.

      Аннотация: The research question studied in this paper focused on the requirements for Egypt as a developing country to adapt the OECD Model, concepts and guidelines. Egypt marched several steps towards adapting its tax framework to the OECD material. These steps have both positive and negative influences on the Egyptian government’s budget deficit. The end result of these impacts depends on the negotiating power of the Egyptian government while concluding double tax treaties or when enforcing the tax laws including the communication of information requests. Under the current situation, with the unstable Egypt, the negotiation power is unprecedented so the withheld taxes under the DTTs would be low leading to abnormal forgone revenues worsening the budget deficits situation. In addition the instability of the government would affect its ability to enforce the previously embraced tax concepts upon taxpayers as for example Transfer Pricing with regards MNEs. Though Egypt approaching the OECD Model, it is not expected to gain much benefits, which requires the Egyptian government to slow down its progress towards the full adaptation of its tax framework to the OECD material.

Ключевые слова: Developing countries, tax avoidance, international taxation, double tax treaties