“It is the world’s best tax amnesty, “ says Morris Maroon, Head of the National Tax Team of law firm Rockwell Olivier. “There are only months before the best opportunity to turn foreign wealth tax-clean will come to an end. We will then see if the predictions of a particularly… – Continue reading
The reservation or grant of certain powers by settlors has always been possible under Bermuda’s trust law but, historically, there was some uncertainty about exactly how far settlors could go without calling the validity of the trust structure into question. The recently passed Trusts (Special Provisions) Amendment Act 2014 (TAA… – Continue reading
Minnesota Democrat invested in opponent’s tax-inverting company as son’s private equity firm opens shop in Caymans Sen. Al Franken (D., Minn.) is hoping to saddle his Republican challenger with Mitt Romney-esque charges of “vulture corporatism,” but his own investment activities, and those of his son, could blunt those attacks with… – Continue reading
Tseng Ming-chung at a press event in Taipei, Oct. 7. (Photo/Yen Chien-lung) Taiwan’s Financial Supervisory Committee (FSC) plans to conduct stress tests to assess the credit risks of China’s banks every quarter, reports our Chinese-language sister paper China Times. FSC chairman Tseng Ming-chung said the quarterly report will be published… – Continue reading
The European Union expanded its crackdown on illegal tax breaks, ordering Spain to recover money from companies that benefited from rules encouraging merger activity outside of the country. The European Commission said the Spanish measures unfairly rewarded companies for buying stakes in foreign competitors. Telefonica SA (TEF) last year lost… – Continue reading
Bank of China Ltd. (3988) raised $6.5 billion selling offshore preference shares in the biggest-ever single tranche U.S. dollar bank capital sale. The country’s fourth-biggest lender by market value priced the securities at 6.75 percent, according to a person familiar with the matter. Citigroup Inc. raised $6 billion selling 8.4… – Continue reading
Budget measures including new foreign direct investment incentives discussed State agencies and Government Ministers and officials have launched a co-ordinated campaign of letters and phone calls to senior executives of foreign multinationals, to reassure them that Ireland remains a top destination for investment following the budget, Minister for Enterprise Richard… – Continue reading
The collapse of AbbVie’s takeover of Shire shows President Obama has put an end to the tax inversion bonanza for bankers and lawyers but they will find new ways to keep the deal wheels turning In 2010, a group of corporate lawyers went cycling in the French countryside. They whizzed… – Continue reading
The private equity owners of video games retailer Game used tax havens in the two years they owned it, accounts have revealed. US buyout group Elliott Advisors snapped up Game Group after it collapsed into administration in 2012. It set up Game Digital in April 2012 in a deal masterminded… – Continue reading
Taipei, Oct. 16 (CNA) Chinese yuan-dominated deposits held by banks operating in Taiwan as of the end of September topped 300 billion yuan (US$49.02 billion) for the first time, as the Chinese currency’s appreciation encouraged investors to raise their yuan holdings, according to the central bank. Statistics compiled by the… – Continue reading
A report claiming Lonmin is engaging in two transfer pricing arrangements is misleading and false, the company said on Thursday. It was responding to a report titled “The Bermuda connection: Profit shifting and unaffordability at Lonmin 1999-2012″, released by the Alternative Information and Development Centre (AIDC) on Thursday morning. “Lonmin… – Continue reading
The Reserve Bank of India (RBI) has sent an advisory to banks cautioning them about the new trend of using forged or fake Bills of Entry to remit funds abroad, especially to tax havens such as Hong Kong. The apex bank has also started synchronising databases with the customs department… – Continue reading
The IRS has issued FAQs relating to the new streamlined procedures for offshore compliance, and for Delinquent International Information Return Submission Procedures. The FAQs for the streamlined program provide more detailed guidance on how the 5% penalty will be computed, how 100% owners of an incorporated business will be treated,… – Continue reading
The visit of an Indian delegation to Switzerland to discuss tax issues has garnered a lot of media attention in both countries. While offering some concessions, Switzerland refused to budge on the issue of providing assistance on the basis of stolen bank data. On Wednesday, the Swiss State Secretary for… – Continue reading
erne/New Delhi: In a major breakthrough in India’s fight against black money allegedly stashed abroad, Switzerland today said it will examine Indian requests for banking information on a priority basis and provide requested details in a time-bound manner. The Swiss authorities would also “assist in obtaining confirmation on genuineness of… – Continue reading
A former banker at UBS has been found guilty of handing over protected Swiss bank account data to the US, according to a penalty order issued by the Swiss prosecutors’ office. According to the order, the banker was found to have breached Swiss data privacy laws but not its banking… – Continue reading
The Isle of Man is showing great enthusiasm for crypto-currencies – from the landlord at a popular Douglas drinking hole to the Lieutenant Governor, everyone is talking about digital currency and the potentially huge benefits to the Island. The Isle of Man Financial Supervision Commission (FSC) has announced plans to… – Continue reading
After announcing Ohio-based Steris Co.’s plans to become British for tax purposes on Monday, CEO Walter Rosenbrough later said on a conference call, “We’re not typically users of aggressive tax policies and I don’t think we are here.” That’s his story, and he’s sticking to it. But even a cursory… – Continue reading
Blue-ribbon corporations are deserting our country “to avoid paying taxes but expect to keep receiving the full array of benefits that being American confers, and that everyone else is paying for,” Fortune magazine reports. That’s right, Fortune wrote it; not Pravda. In a scathing article titled “Positively Un-American” by Allan… – Continue reading
Wealth inequality is growing worldwide, according to a new report by Credit Suisse. A greater share of wealth is being held by a smaller number of ultra-rich families worldwide as larger inheritances, family trusts, and similar arrangements to avoid taxes help the ultra-wealthy gain a greater portion of total capital… – Continue reading
Malta, like Cyprus, has been obliged to dismantle its old ‘offshore’ companies regime as a trade-off for joining the European Union. EU membership has, however, brought about certain benefits for Maltese companies trading across borders, and, coupled with investment-friendly government policies and some interesting tax planning opportunities, Malta remains one… – Continue reading
(Reuters) – Top bankers in London and elsewhere in the European Union find out in coming days if their pay contracts may be torn up to stop their attempts at softening the bloc’s cap on bonuses. The European Banking Authority (EBA), an EU watchdog, is due to publish a report… – Continue reading
(Reuters) – Luxembourg agreed on Tuesday to end its bank secrecy rules from 2017, yielding to a decade of pressure from Germany and the United States and marking a breakthrough in global efforts to reduce tax evasion. Luxembourg, whose banks hold deposits worth 10 times the nation’s annual economic output,… – Continue reading
Oct. 10 — Withholding agents and foreign financial institutions will be given extra time to comply with requirements for determining an account holder’s foreign status, the IRS said. The Internal Revenue Service, in Notice 2014-59 issued Oct. 10, said withholding agents, foreign financial institutions and payers have until Jan. 1,… – Continue reading
It is said that Argentina faces an economic and political crisis every 10 years. Whenever a crisis arises, Argentinians’ right of ownership is at risk. Devaluation, asymmetric pesification and the current foreign exchange restrictions are a few examples of the challenges we face. What’s more, according to a recent OECD… – Continue reading
Fund managers dealing with funds in Model 1 IGA countries must start focusing now on the application of FATCA to these funds. The U.S. Foreign Account Tax Compliance Act (“FATCA”) is becoming a reality. Fund managers around the world over are facing requests from U.S. withholding agents for FATCA documentation… – Continue reading
In the history of the old west when gun fighters survived a gun fight they might put a “notch” in their pistol as a badge of honor. Well the U.S. Department of Justice can put another notch in its weapon of choice, threat of prosecution” because Deutsche Banks’ Swiss unit… – Continue reading
The IRS updated its streamlined offshore compliance program to provide procedures taxpayers residing both inside and outside the United States should use to participate in the program. The streamlined offshore compliance program is for taxpayers whose failure to comply with requirements to report offshore assets is nonwillful. It is designed… – Continue reading
(Reuters) – Italian and Swiss ministers clashed on Monday over the failure to reach an agreement aimed at fighting tax evasion that foresees Switzerland opening up its bank databases to Italian tax authorities. Both Italian Economy Minister Pier Carlo Padoan and Swiss Finance Minister Eveline Widmer-Schlumpf said they spoke on… – Continue reading
A failed property development is linked to a tax haven company that triggered an alleged money laundering probe into a wealthy businessman. Albany Heights, more than 400 homes proposed to be built on Auckland’s North Shore, was marketed as an “investors’ dream” but companies connected to the project collapsed with… – Continue reading
Undeclared offshore income and assets must be disclosed by 19 December 2014 The Australian Taxation Office (ATO) is reassuring taxpayers that disclosing under Project DO IT will not give them a “red flag”. Project DO IT, the ATO’s offshore voluntary disclosure initiative, offers considerable benefits to taxpayers who bring their… – Continue reading
Inter vivos and testamentary trusts are used frequently in Canada to implement a variety of estate and tax planning strategies. Over the past few years, however, amendments to Canada’s Income Tax Act (the ITA), and case law have altered the effectiveness of the use of trusts in certain circumstances. In… – Continue reading
Cash in companies run by businessman Declan Conway was moved to two offshore companies Shareholders in two Business Expansion Scheme (BES) companies run by businessman Declan Conway have written to him demanding to know why almost €1.6 million was transferred from both firms to a number of offshore entities. Between… – Continue reading
Tax authority set a target of 1,165 people a year by 2014/15, but analysis of the last tax year shows it prosecuted just 795 £119.4bn of UK tax went unpaid, avoided or evaded in the financial year 2013/14, with evasion totalling £82.1bn, according to campaigner Richard Murphy. Photograph: Daniel Lynch… – Continue reading
The NDA government is sending a high-level delegation to Switzerland in a bid to persuade them to assist with details of the 700-odd Indians who have bank accounts with the HSBC Bank in Geneva. This is being seen as the last-ditch attempt by the Indian government since the Swiss authorities… – Continue reading
The Alternative Information Development Centre (Disclosure: AIDC’s economist Dick Forslund contributes to Daily Maverick, most recently about Lonmin) has been served with an interdict application in the Johannesburg High Court to try to prevent the organisation from holding a press conference about Lonmin’s finances, especially relating to the use of… – Continue reading
Compliance is China’s latest Hot Topic. Until recently, many Western managers accepted that some flexibility on legal issues was needed to thrive in the complex Chinese legal environment. Practices to strengthen relationships such as luxurious dinners and karaoke evenings, sponsored travel, red-pocket money and the like, have often been regarded… – Continue reading
Moshe Asher is seeking information about accounts in Switzerland belonging to Israelis. The Israel Tax Authority is stepping up it efforts to combat overseas tax shelters for Israelis. Sources inform “Globes” that Israel Tax Authority director Moshe Asher is expected to travel to Switzerland next week in order to meet… – Continue reading
The Internal Revenue Service announced changes to one of its limited-amnesty programs for U.S. taxpayers with undeclared offshore accounts. The revisions are to the “streamlined procedure,” which was announced in June and is for taxpayers who weren’t intentionally hiding money abroad. Participants in the streamlined program who live in the… – Continue reading
ZURICH (Reuters) – The U.S. Department of Justice (DOJ) is seeking “total cooperation” from Swiss banks in a draft agreement aimed at allowing the banks to make amends for aiding tax evasion by wealthy Americans, a Swiss newspaper reported on Saturday. About 100 Swiss banks signed up to work with… – Continue reading
LUXEMBOURG’S financial elite gathered recently for the grand opening of its free port, which will soon house troves of fine art, vintage wine, precious metals and other valuables, beyond the reach of any taxman. The facility is one of the three finest of its kind, along with those in Singapore… – Continue reading
Mega International Commercial Bank (兆豐國際商銀) has inked a new cooperation pact with the Industrial and Commercial Bank of China (ICBC, 中國工商銀行), as part of the state-run lender’s move to expand its operations overseas, the Taiwanese bank said yesterday. Mega Bank chairman McKinney Tsai (蔡友才) on Wednesday signed a memorandum of… – Continue reading
Vodafone has emerged victorious against the Indian taxman in the latest bout of litigation between the two. The important point for the rest of us being what it tells us about those endless claims of tax avoidance and tax evasion by large companies. It’s not just that large amounts of… – Continue reading
This week brings a wealth of news in the FATCA arena, which we summarize in today’s post. First, former acting IRS Commissioner Steven Miller speaks out against FATCA and suggests that the benefits of the new information reporting regime imposed by FATCA may not outweigh its costs. An article published… – Continue reading
Taipei, Oct. 10 (CNA) Taiwan’s top financial regulator said Friday it will relax rules governing the business scope of Taiwanese securities firms’ offshore securities units (OSU), a move that could help the units seize more opportunities. The Financial Supervisory Commission (FSC) said that it will seek approval from the Central… – Continue reading
Mission Hills businesswoman Cheryl Womack is scheduled to appear in federal court in Kansas City on November 12 for a change of plea hearing in her criminal case. Womack had earlier entered a not guilty plea to charges of avoiding income taxes and lying to investigators. (Update, 9:03 p.m) It’s… – Continue reading
Three House Democrats are urging the Labor Department to reconsider its proposed waiver of sanctions on Credit Suisse following its guilty plea over tax evasion charges. Reps. Maxine Waters (Calif.), ranking member of the Financial Services Committee, George Miller (Calif.), ranking member of the Education and the Workforce Committee and… – Continue reading
Asian financial institutions could come under closer scrutiny by US authorities that are seeking to expand a probe into offshore tax avoidance activities across more jurisdictions, according to consultancy firm AlixPartners. The US government has stepped up efforts to counter tax evasion activities by its citizens in recent years. Last… – Continue reading
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There are reportedly about to be major moves in the fight against tax evasion within the European Union. The region’s finance ministers are said to be close to an agreement on automatic sharing of bank data so that the authorities could spot tax dodging or illicit money flows more easily…. – Continue reading
