Subprogramme 7. Financing for development Implementing entity: Department of Economic and Social Affairs, Financing for Development Office Budget summary (thousands of United States dollars) Relationship to the biennial programme plan for the period 2014-2015: programme 7, subprogramme 9, expected accomplishment (d) 2010-2011 expenditure 2012-2013 resources at revised rates 2014-2015 estimate General temporary assistance – 407.1 432.9 Consultants – 44.7 70.7 Travel of staff – 63.7 39.8 Contractual services – – 3.2 Participants in seminars – 79.6 83.4 Objective: To strengthen the capacity of ministries of finance and national tax authorities in developing countries to develop more effective and efficient tax systems, which support the desired levels of private investment Total – 595.1 630.0 Expected accomplishments Indicators of achievement Activities/outputs/projects (a) Strengthened capacity to negotiate, administer and interpret tax treaties, drawing on the United Nations Model Double Taxation Convention between Developed and Developing Countries (United Nations Model Convention), with a view to encouraging investment (a) Number of treaties and treaty provisions negotiated, which follow the provision of the United Nations Model Convention Baseline 2010-2011: not applicable Estimate 2012-2013: 10 Target 2014-2015: 12 (b) Strengthened capacity to apply the arm’s length principle reflected in the United Nations Model Convention in taxing multinational companies (b) Number of actions, including at the administrative level, to put in place or enhance transfer pricing capability that reflects the work of the United Nations Baseline 2010-2011: not applicable Estimate 2012-2013: 5 Target 2014-2015: 6 The capacity-development strategy in the area of international tax cooperation will focus on the following two areas: (a) administration, negotiation and interpretation of tax treaties between developing and developed, or between two developing countries, drawing on the United Nations Model Convention; and (b) practical issues in transfer pricing from the point of view of developing countries. The capacity-development strategy will be implemented through: (a) regional training seminars in the United Nations Model Convention and/or transfer pricing, as well as related areas; (b) production of training materials; and (c) establishing new and strengthening existing networks of national tax authorities to enhance linkages between developing countries through the exchange of best practices. The subprogramme will implement one new development account project, which will seek to strengthen the capacity of tax authorities and ministries of finance in developing countries to effectively utilize double tax treaties, drawing on the United Nations Model Convention, with a view to improving the investment climate, increasing tax revenue and combating tax evasion for financing of sustainable development. The main tool used to carry out the training activities envisioned under this project will be a United Nations Course on Double Tax Treaties. The subprogramme has developed strong working relationships with the Inter- American Center of Tax Administrations and will further develop working relationships with similar organizations in different regions. In addition, the regional commissions, the World Bank, the International Monetary Fund (IMF) and OECD are likely partners in particular activities. Collaboration with the UNDP regional bureaus and country offices is also envisioned in order to ensure consistency with country programmes.
Part V Regional cooperation for development