Dec 22 (Reuters) – Mexico’s tax collection agency (SAT) has reached a deal with a multinational company at the center of a tax-avoidance investigation, and the latter will make a ‘substantial’ payment soon, a senior official was quoted as saying on Monday. “We have just closed a case with an… – Continue reading
The disclosure of thousands of pages of confidential documents on Luxembourg tax deals was a “game changer” that led European Union regulators to expand their probe of such accords to all 28 nations in the bloc, Luxembourg Finance Minister Pierre Gramegna said. The EU’s expanded investigation “is not a surprise… – Continue reading
More leaked documents relating to tax avoidance schemes involving Luxembourg’s government under the leadership of Jean-Claude Juncker, now President of the European Union (EU) Commission, have intensified the political crisis surrounding the EU. It comes at a time of growing opposition to the pro-business EU and the vicious austerity cuts… – Continue reading
Ambassadors are supposed to be diplomatic and suave. Yet even those of the diplomatic corp may occasionally get tongue-tied or utter ill-timed statements. Take U.S. Ambassador to Britain Matthew Barzun. He recently sounded not all that diplomatic about duty, compliance with law, and yes, even taxes. Lee Rigby was a… – Continue reading
(Reuters) – Luxembourg acceded on Thursday to the demand of the European Commission to release data to further EU antitrust regulators’ investigation into whether it allowed multinationals to pay excessively low taxes. The European Commission launched investigations this year into whether U.S. retailer Amazon (AMZN.O) and a unit of Italian… – Continue reading
There has been a recent surge in anti-tax inversion legislation discouraging companies attempting to shift corporate subsidiaries or headquarters to low-tax or tax-free countries. The issue was subjected to a great deal of publicity in April 2014 during the failed hostile takeover by Pfizer (NYSE:PFE) for AstraZeneca (NYSE:AZN) when Pfizer… – Continue reading
India will start charging income tax on digital economy firms, such as Facebook, Twitter and Uber, soon after the OECD finalises a framework by April 2015 to tackle the widespread corporate practice of shifting of profits to low-tax countries, government officials said on Wednesday. Tax may be levied on overseas… – Continue reading
* EU to examine tax arrangements across bloc * Several deals with multinationals already under scrutiny * Questions asked of new Commission President Juncker (Adds Luxembourg reaction, background) By Foo Yun Chee BRUSSELS, Dec 17 (Reuters) – European Union competition regulators have asked all 28 member countries for details of… – Continue reading
Think tank targets key aspects of Republic’s role in multinationals’ tax affairs Key features of Ireland’s role in the tax affairs of major technology companies such as Google and Microsoft are being targeted by the OECD’s base-erosion and profit-shifting (Beps) project, it has emerged. Ideas being worked on by the… – Continue reading
The European Union’s new antitrust chief said the EU is braced for a legal battle with governments embroiled in its probe of sweetheart tax deals for multinationals from Apple Inc. (AAPL:US) to Amazon.com Inc. Margrethe Vestager said the process needs to be legally watertight as officials investigate whether deals handed… – Continue reading
Rome (dpa) – The head of Italy‘s tax office, Rossella Orlandi, on Monday criticized automaker Fiat‘s decision to move its tax residence to Britain after completing a merger with US peer Chrysler. “I would … like to stress that we need some sense of national pride. In Germany tax rates… – Continue reading
Around the world, countries are desperately seeking ways to stop multinational companies from earning profits within their borders without paying taxes on them, while stashing trillions in tax havens like the Cayman Islands. The British government, after a search, says it knows how to tax the profits Google earns in… – Continue reading
The Income Tax Department has informed the Special Investigation Team (SIT) on Black Money that prosecution proceedings for non-furnishing of account details by Indians stashing black money abroad are in progress in 27 cases (under Section 276 D of the I-T Act) and has even filed a case in court… – Continue reading
It seems that reports of Ferrari’s relocation to London have been somewhat exaggerated. The past few days have seen more than a few stories on the legendary Italian brand’s decision to move its tax base out of Italy, and now Fiat Chrysler is speaking out against the scuttlebutt. “These rumors… – Continue reading
MONTREAL – The problem is not that Bombardier Inc. played a complex shell game since at least 2010 by refinancing and redirecting US$500 million of its financing activities to Luxembourg, a notorious tax haven. It’s that it does so legally — and is hurting its home country despite being one… – Continue reading
All those Dutch sandwiches, double Irishes and Luxembourg, uh, lunchboxes that US multinational companies use to defer taxes and shift profits abroad are expected to be re-empowered today when the Senate votes to enact a one-year tax extension package. Included in the package is a renewal of two breaks, one… – Continue reading
There’s big news from across the pond. The U.K. government’s Autumn Statement (formerly known as the pre-Budget report), released December 3, promises to change how multinational corporations will be taxed – and offers a cautionary tale for would-be U.S. tax reformers. Britain will introduce a “diverted profits” tax, targeting corporations… – Continue reading
There’s big news from across the pond. The U.K. government’s Autumn Statement (formerly known as the pre-Budget report), released December 3, promises to change how multinational corporations will be taxed – and offers a cautionary tale for would-be U.S. tax reformers. Britain will introduce a “diverted profits” tax, targeting corporations… – Continue reading
(Reuters) – EU regulators hope to wrap up ongoing probes into the legality of tax deals between Luxembourg, the Netherlands and Ireland with Apple (AAPL.O), Starbucks (SBUX.O), Amazon (AMZN.O) and Fiat (FCHA.MI) by the second quarter of 2015, the EU anti-trust’s chief said on Thursday. European Competition Commissioner Margrethe Vestager… – Continue reading
Ferrari SpA is considering moving its fiscal residence outside Italy to save on corporate taxes as the supercar maker prepares for its spinoff from Fiat Chrysler Automobiles NV (FCAU), people familiar with the matter said. The manufacturer, which uses the colors of the Italian flag in its logo, may follow… – Continue reading
Rudolf Elmer, the former employee of Julius Baer Group Ltd. accused of revealing details of client accounts via WikiLeaks, collapsed at the start of his trial, forcing the court to postpone the case. It was not clear when the trial in Zurich District Court would continue. Proceedings had been under… – Continue reading
Hutchison Whampoa had profit of €429.6m but paid just €65,067 tax in Luxembourg A Luxembourg company that provides indirect financial support to 3 Ireland, is among the latest batch of entities found to be availing of secret tax deals in Luxembourg. Hutchison Whampoa Europe Investments Sarl (HWEI) – part of… – Continue reading
This transfer pricing dispute arose from transactions involving Vodafone in 2007-08. The I-T department had red flagged the sale of call centre business to Hutchison Whampoa Properties India and the assignment of Call Options. n the latest from Vodafone’s Rs 8,500 crore trasfer pricing case versus the Income Tax department,… – Continue reading
The European Investment Bank, which gives loans and grants using taxpayers’ money, acted wrongly when it refused to disclose details of alleged tax evasion by mining giant Glencore, the EU’s watchdog has ruled. The EIB failed to disclose the results of its own investigation into the allegations surrounding a mining… – Continue reading
Peter Mac Swedish “flatpack” furniture manufacturer IKEA has suffered a number of blistering mass media attacks for business practices that reduce their Australian tax liabilities to a tiny fraction of the company’s profits here. The criticism is certainly justified. Most ordinary working taxpayers, as well as companies that don’t engage… – Continue reading
Rudolf Elmer, the former employee of Julius Baer Group Ltd. accused of revealing details of client accounts via WikiLeaks, collapsed at the start of his trial, forcing the court to postpone the case. It was not clear when the trial in Zurich District Court would continue. Proceedings had been under… – Continue reading
The House of Commons Public Accounts Committee on Monday held a hearing on the role of accountancy firms in tax avoidance and PwC (PricewaterhouseCoopers), the Big 4 accounting firm, was represented by Kevin Nicholson, PwC head of tax in the UK and former HMRC (HM Revenue & Customs) tax inspector,… – Continue reading
A Dublin-based amusement arcade operator, a Co Sligo farmer and a Dublin company director topped the latest list of tax defaulters. The 107-strong list, published by the Revenue Commissioners, made settlements totalling €19.64 million. The largest settlement was made by fair and amusement arcade operators Groundview Limited, of 15 Lower… – Continue reading
About 10 years ago Citigroup’s then chief executive Chuck Prince started his global apology tour, aimed at mending relationships with regulators and bolstering Citi’s reputation. Tokyo was the first stop. The US bank had been embroiled in scandals that led to the termination of its Japanese private banking licence. To… – Continue reading
The Australian Tax Office is auditing 10 multinational corporations and the government will consider introducing new laws aimed at targeting tax avoidance, Joe Hockey has said. The treasurer said on Tuesday the ATO was “embedded in the offices” of multinationals operating in Australia to closely scrutinise whether those companies were… – Continue reading
Some of the world’s leading tech companies are reportedly being audited by the tax office for off-shore ‘super profit’ shifting. Up to 10 multinational companies, one believed to be the Google, have been forced to open their books as the ATO begins a $1.5 billion tax hunt. Commissioner of Taxation… – Continue reading
BRUSSELS–European Union finance ministers struck two separate deals on Tuesday aimed at cracking down on tax avoidance by multinationals, an issue that is high on Europe’s political agenda as a lackluster economic recovery fails to replenish crisis-hit state coffers. At a meeting in Brussels, finance ministers agreed to update a… – Continue reading
Four years after entering a punishing €67bn bailout, the Irish economy is booming again. Gross domestic product expanded at an annual rate of 5.5 per cent between January and June. The European Commission expects Ireland to be the fastest-growing country in the eurozone in 2014. Yet a chorus of economists… – Continue reading
The EU’s most powerful official is under mounting pressure as dozens more multinational corporate names are dragged into the Luxembourg tax scandal following a new leak of confidential documents on Tuesday. Jean-Claude Juncker, president of the European commission, has been battling to distance himself from the growing furore over the… – Continue reading
European Union nations that offer “patent box” tax breaks should retool their laws so that only deserving companies can claim benefits tied to technical innovations, according to a draft report from a European Union working group. Countries that use this kind of technology tax break should start legislative work next… – Continue reading
While the dust is still settling from the mid-term elections and the pundits are trying to figure out what it all means, the American people have made their collective voices heard and delivered a message that they do not like the country’s direction. Exit polling data from Election Day showed… – Continue reading
Nicholson stands by previous testimony to MPs, as accountants are accused of mass-marketing tax avoidance schemes The head of tax at one of the UK’s top accounting groups was accused of lying to parliament about his firm’s role in devising controversial tax deals for clients in Luxembourg. Kevin Nicholson, PwC… – Continue reading
The Treasury will this week detail sweeping new powers for the Revenue to investigate tax-avoiding global companies, and will issue a list of suspect structures which it says are designed to dodge British dues. The Chancellor declared war on tech giants such as Google, Amazon and eBay, which pay little… – Continue reading
The factbox devoted to two years of the so-called Magnitsky Act passed by US Senate. This act allows Washington to deny visas and freeze assets of Russian officials allegedly involved in the death of Russian lawyer Sergei Magnitsky. Five years ago, on November 16, 2009, Sergei Magnitsky, a tax and… – Continue reading
Industrial & Commercial Bank of China Ltd. is marketing the largest sale of offshore yuan bonds as China pushes for the wider use of its currency as an alternative to the dollar in business and finance. The nation’s biggest lender by market value is offering about 12 billion yuan ($1.95… – Continue reading
Corruption is feared to be worsening in China, Turkey and other fast-growing economies, an anti-graft watchdog warned Wednesday, also urging the world’s banking centres to help combat sleaze and money-laundering. Transparency International released its annual Corruption Perceptions Index (CPI), which ranked Sudan, North Korea and Somalia as the worst offenders… – Continue reading
Argentina and Belgium have separately accused HSBC bank’s Geneva branch of setting up a network of offshore accounts to help their citizens avoid paying billions of dollars in taxes. The Belgian charges were filed Monday and the Argentine charges were announced Friday. HSBC, formerly known as Hong Kong & Shanghai… – Continue reading
PUBLIC Accounts Committee (PAC) chairman John McGuinness has confirmed that the Revenue Commissioners will this week be quizzed over the explosive Ansbacher dossier. Representatives from the tax authority will be questioned by TDs over an investigation carried out into allegations of widespread tax evasion by a number of former senior… – Continue reading
Offshore accounts have made headlines recently, with 51 global jurisdictions agreeing to automatically share and exchange details of tax data. Included in this agreement is information on offshore accounts and their operational procedures. The decision brings new attention to overseas financial planning, and how top companies use offshore accounts to… – Continue reading
High quality global journalism requires investment. Please share this article with others using the link below, do not cut & paste the article. See our Ts&Cs and Copyright Policy for more detail. Email ftsales.support@ft.com to buy additional rights. http://www.ft.com/cms/s/0/0092eb7c-788d-11e4-a33c-00144feabdc0.html#ixzz3KooWgw9y Multinational companies are braced for a tax crackdown after George Osborne vowed to use… – Continue reading
Top cable firm, lawmaker allegedly stashed funds in Swiss accounts Argentina’s top cable-TV operator, a former professional soccer player and a lawmaker are among the holders of some 4,000 secret Swiss bank accounts used to evade taxes, the Argentine tax agency said on Friday. The agency’s revelation came a day… – Continue reading
Even though it was the French tax office that handed over encrypted information to AFIP head Ricardo Echegaray, the source of the revelations was former HSBC employee and whistleblower Hervé Falciani, a man responsible for giving the details of up to 130,000 Swiss bank accounts he suspected were linked with… – Continue reading
Even as Finance minister Arun Jaitley on Thursday said a heavy tax regime was responsible for black money, his ministerial colleague M Venkaiah Naidu told parliament amidst uproar that BJP had never promised to bring back black money stashed aboard in first 100 days of power. Reading BJP manifesto, Naidu,… – Continue reading
The fund will hit the markets by the middle of next year and invest in residential projects like the last fund Having raised a $250-million (Rs 1,500 crore) offshore fund in July this year, real estate fund manager HDFC Property Fund is now gearing up to launch a $500-million (Rs… – Continue reading
With the Opposition targeting the government on the black money issue, Finance Minister Arun Jaitley told the Rajya Sabha on Wednesday that the identity of 427 foreign account holders has been established, of which 250 have admitted to having these accounts. Replying to a debate on the issue, Jaitley said… – Continue reading
