According to sources, the raids were conducted at Mr Nath’s nephew Ratul Puri’s company, Hindustan Powerprojects Pvt Ltd on April 7. New Delhi: The income tax department has detected tax evasion of more than Rs 1,350 crore during search and seizure operations conducted against Hindustan Powerprojects, a company owned by… – Continue reading
In our previous articles, we’ve discussed Republic Act (RA)–1213, the “Tax Amnesty Act of 2019” (Tax Amnesty Act), particularly the fact that President Duterte vetoed several provisions, specifically the General Tax Amnesty (GTA). The GTA was supposed to cover all national internal revenue taxes (i.e., income tax, withholding tax, value-added… – Continue reading
Some of these changes have been made with respect to changes in income tax laws made in Budget 2018 for 2018-19 and onwards. Certain changes have been in Income Tax Return (ITR) forms for 2018-19 by the government. Some of these changes have been made with respect to changes in… – Continue reading
The income tax department is said to have adopted at least six different ‘out of the ordinary’ methods to recover tax dues The income tax department this year also used a rare provision to collect dues directly from a company’s bank accounts Mumbai: Every year in March, the income tax… – Continue reading
Federal Board of Revenue (FBR) will penalize Reporting Financial Institutions (RFIs), which would fail to submit Common Reporting Standard (CRS) reports pertaining to required information of financial accounts of non-resident persons and any other reportable person by May 31, 2019 to the FBR. According to an announcement of the FBR… – Continue reading
India has one of the largest networks of tax treaties for the avoidance of double taxation and prevention of tax evasion. The country has Double Tax Avoidance Agreements (DTAAs) with over 85 countries under Section 90 of the Income Tax Act, 1961. The purpose of such tax treaties is to… – Continue reading
KARACHI: Property tax collection by provinces surged 31.34 percent to Rs7.38 billion during the first half of the current fiscal year of 2018/19, official data showed on Friday. Finance ministry’s data showed property tax collection amounted to Rs5.624 billion during the corresponding period of the last fiscal year. Sources in… – Continue reading
KARACHI: The income tax law has made it mandatory for taxpayers to declare foreign income and assets in order to avoid penalty, Vishno Raja Qavi, former chief tax policy, Federal Board of Revenue (FBR), said on Thursday. He was highlighting the key points of Automatic Exchange of Information (AEOI) at… – Continue reading
The Court of Tax Appeals (CTA) has sentenced a gold trader of up to 10 years in jail for filing false income tax returns (ITR) for the years 2005 to 2009. The Court’s Third Division also ordered Rex Chua Co Ho to pay the Bureau of Internal Revenue (BIR) deficiency… – Continue reading
KARACHI: The withholding tax collection from non-cash banking transactions has posted 14 percent growth; following introduction of an amendment through the Finance Supplementary Act, 2018. The collection of withholding tax from non-cash transactions, which is applicable only on non-filers of income tax returns, increased to Rs1.128 billion in December 2018,… – Continue reading
The Delhi High Court, in its recent decision, quashed an order of the Income Tax department questioning the overseas earnings and assets prior to March 31, 2005. The earnings included money in tax-haven banks, overseas properties and interests in offshore trusts and applies to non-resident Indians as well. The assessee,… – Continue reading
KARACHI/ISLAMABAD: The Federal Board of Revenue (FBR) stepped up efforts to net undisclosed property investments as the newly-constituted authority to curb real estate tax evasion brought the amnesty for the sector to an end, sources said Saturday. They said the amnesty to whiten undocumented money used for transactions of immovable… – Continue reading
General UK Tax Developments Finance Bill The Finance (No 3) Bill 2018-19 (which will become the Finance Act 2019) was published on 7 November and includes legislation to enact the changes highlighted in our UK Budget blog post ( UK Budget Blog). Another key area covered by the Finance Bill… – Continue reading
There is confusion among taxpayers regarding taxability of foreign rental income in Pakistan and filing of income tax returns in view of avoidance of double taxation treaties signed between Pakistan and UAE, UK and Canada. A leading tax consultant Shahid Jami has approached the Federal Board of Revenue (FBR) for… – Continue reading
Britain’s parliamentary upper house has requested the current investigation limit set out in the Draft Finance Bill 2018 be scrapped. The House of Lords’ request to HMRC would, if passed, remove the 12-year offshore investigation limit from the Draft Finance Bill 2018 – a proposal that has seen an outcry… – Continue reading
Trusts still remain under public scrutiny, but can their reputation be safeguarded, asks Stuart Price A recent government consultation on the law of trusts brought out some interesting issues concerning how the status quo aligns with the principles of transparency, fairness and simplicity (the principles that, at least in the… – Continue reading
Two years after the Panama Papers brought to fore alleged hidden offshore accounts of the world’s wealthy, the income-tax department has issued notices to many in India for not disclosing all their foreign assets as well as interest and income earned through such assets. Notices were issued following an investigation… – Continue reading
The Federal Inland Revenue Service (FIRS) recently released the Income Tax (Transfer Pricing) Regulation 2018 (‘the Regulation’). The Regulation took effect from 12th March 2018 and replaces the Income Tax (Transfer Pricing) Regulations, 2012. The Regulation sets out the legal framework for the application of the arm’s length principle to… – Continue reading
Companies avoid paying income tax by creating suppliers that don’t exist The Federal Tax Administration (SAT) has uncovered a new and “aggressive” tax fraud scheme involving more than 13,000 partners and shareholders of 600,000 companies, many of which are bogus. Unidentified media organizations and professional soccer teams are among the… – Continue reading
Many taxpayers in China have had questions about how the government would change the individual income tax (IIT) law since the amendment was passed earlier this year. Recently, however, the tax authorities released a draft of the amendment’s implementation rules and measures for comment. While the draft implementation rules and… – Continue reading
ZAMBIA last year lost US$145.5 million through tax evasion by unregistered and registered low-cost spirits producers and smuggling of ethanol and beverages, a report has revealed. And Vice-President Inonge Wina has backed Zambian Breweries’ Youth Mentorship Programme aimed at curbing alcohol abuse among youth and promoting positive and responsible decision-making… – Continue reading
KARACHI: The Federal Board of Revenue (FBR) re-opened audit cases related to non-filing of tax returns after legal changes were introduced under the latest mini-budget, officials said on Friday. The officials said the cases were automatically selected before the budget for the current fiscal year of 2018/19 as the taxpayers… – Continue reading
The New Delhi bench of Income Tax Appellate Tribunal (ITAT) in Global Academy of Emergency Medicine versus CIT(E), held that under the Income Tax Act appointing of NRIs as trustees of valid Indian trusts are permissible. The sole issue in the instant case was CIT (E) held that the owner… – Continue reading
A new sub-decree issued this week creates a slew of tax incentives for small and medium-sized enterprises in the Kingdom, and confirms that the sector is now one of the government’s main priorities. Sub-decree No 124 – signed by Prime Minister Hun Sen, and issued Tuesday – sets us tax… – Continue reading
7.What are Mutual Administrative Assistance Agreement (MAAAs) The new IRA defines the “Mutual Administrative Assistance Agreement” to mean a tax information exchange agreement or other international agreement for mutual administrative assistance in relation to taxation matters. Section 75 (5) of new IRA “Mutual administrative assistance agreement” means a tax information… – Continue reading
1.Introduction Due to the influence of International Monetary Fund, the income tax law of Sri Lanka witnessed a near paradigm shift with the introduction of Inland Revenue Act No.24 of 2017 (new IRA) by repealing Inland Revenue Act No.10 of 2006 with effect from 1 April 2018. Unlike the Inland… – Continue reading
National Board of Revenue has decided to set up a separate unit to handle income tax files of foreign companies operating in Bangladesh. The decision was taken responding to a proposal of the European Union for establishing a separate NBR unit for providing hassle-free services to foreign taxpayers. EU came… – Continue reading
How tax residency in China gets determined is among key changes introduced in the recently passed individual income tax (IIT) law. The new law is set to reform IIT in the country, including the tax treatment of foreigners. Beginning January 1, 2019, an individual who resides in China for 183-days… – Continue reading
Hukou (户口) is a system of household registration in China. Each citizen is issued a household register under supervision of the Ministry of Public Security, China’s police. Hukou serves as an identity proof for citizens, recording their basic information and permanent residence. The hukou registration also determines access to housing,… – Continue reading
The tax regime in Sri Lanka historically imposes WHT on both domestic as well as cross border payments. WHT on domestic payments eases revenue collection (e.g.: PAYE) while WHT on cross border payments are adopted by most countries to ensure that the fair share of tax is retained in the… – Continue reading
The Finance Ministry, last day informed that the Government is planning to introduce income tax exemption to the interest income on the specified Offshore Rupee Denominated Bonds. “Legislative amendments in this regard shall be proposed in due course”, the Ministry said. Interest payable by an Indian company or a business… – Continue reading
In June this year, the Chinese government announced much-anticipated revisions to the country’s individual income tax laws. KPMG Partner and Senior Advisor Michael Olesnicky says that these new revisions will likely have ‘profound implications’ within the wealth management community in Asia. Hubbis CEO Michael Stanhope recently spoke with him about… – Continue reading
Indonesia is set to join the global treaty on the Automatic Exchange of Information (AEOI) on tax matters this month, and will then have virtually all the “high-caliber weapons” it needs to hunt down tax evaders — not just within the country but anywhere in the world, including tax-haven countries…. – Continue reading
The Delhi High Court, last day dismissed petitions by the Congress President Rahul Gandhi, Congress leaders Sonia Gandhi and Oscar Fernandes challenging the income tax notices sent to them in connection with the National Herald case. On 16 August, the high court had reserved its verdict on the pleas of… – Continue reading
In June this year, the Central Board of Direct Taxes (CBDT) came out with final clarifications regarding the rules on Place of Effective Management (POEM). POEM is an internationally recognized test for determining the residence of a company incorporated in a foreign jurisdiction with a view to assessing its tax… – Continue reading
Income Tax department is also inquiring into some alleged suspicious transactions and investment flow into Flipkart Authorities have demanded a valuation report from Flipkart The international taxation division of the I-T department is currently studying the valuation of Indian assets of Flipkart Singapore At the time when ecommerce company Flipkart… – Continue reading
BEIJING, Aug. 31 (Xinhua) — China’s top legislature on Friday voted to adopt the revised Individual Income Tax Law in an effort to pursue fairer income distribution. Lawmakers approved the legislation at the end of a five-day bimonthly session of the National People’s Congress (NPC) Standing Committee. The new law… – Continue reading
French President Emmanuel Macron said he wanted “precise answers” before deciding whether to introduce pay-as-you-earn income tax withholding as planned next January. Speaking at a press conference in Helsinki, Macron said he wanted to be “demanding about the proper implementation” of what would be a major change for employers and… – Continue reading
Hanoi (VNA) – The Government has approved an agreement between Vietnam and China’s Macau Special Administrative Region on the avoidance of double taxation and prevention of income tax evasion. The Government assigned the Ministry of Finance to chair and coordinate the two sides’ relevant agencies to implement the pact. The… – Continue reading
The newly revised threshold monetary limits for the department to file appeals at various levels — appellate tribunals, High Courts and the Supreme Court will not be applied in cases where foreign black money is involved, said the tax department recently. As per a CBDT missive, cases involving undisclosed foreign… – Continue reading
Around 2,000 millionaires – many of them billionaires – call Monte Carlo their home and avoid paying billions of euros in tax. Sputnik spoke to the UK Socialist Party’s Deputy General Secretary, Hannah Sell, about why France and the European Union have done nothing to combat this tax haven in… – Continue reading
The Mumbai bench of the Income Tax Appellate Tribunal ( ITAT ) has held that the income earned from the web hosting services cannot be treated as fee within the meaning of Article 12 of the Double Taxation Avoidance Agreement (DTAA) between India and US. In the instant case, the… – Continue reading
Finance Minister Yubaraj Khatiwada has said that taxpayers should not worry about the duplication of taxes in the different layers of the government citing that taxes enforced by the subnational governments is because of lack of tax awareness. He reaffirmed that the duplication of taxes will no longer exist. Speaking… – Continue reading
A bilateral double taxation agreement between Nigeria and Singapore generally is to take effect Jan. 1, 2019, although in Singapore, provisions regarding income taxes other than withholding taxes are to take effect Jan. 1, 2020. The treaty, also known as a DTA, is to affect how each country’s income tax… – Continue reading
Malaysia has suspended its MSC Malaysia tax regime, pending changes to bring it into line with recommendations from the OECD’s Base Erosion and Profit Shifting initiative. Under the regime, domestic and foreign information and communication technology-related businesses can apply for “MSC Malaysia Status,” which allows them to benefit from tax… – Continue reading
Viet Nam News HA NOI — Vietnamese Deputy Minister of Finance Do Hoang Anh Tua’n and Croatian Minister of Finance Zdravko Maric on Wednesday signed an agreement on the avoidance of double taxation and the prevention of fiscal evasion with respect to income taxes. According to Tua’n, the agreement is… – Continue reading
Russian President Vladimir Putin signed a package of laws allowing Russia-controlled foreign offshore companies to be re-registered in offshore financial centers (OFCs) established in Russia’s Kaliningrad Region and Primorsky Territory in order to minimize the possible consequences of sanctions and political risks from foreign countries. The legislation establishes the procedure… – Continue reading
The Government has ratified the agreement on double taxation avoidance and income tax evasion prevention between Vietnam and Cambodia. The Government assigned the Ministry of Finance to coordinate with relevant ministries and agencies of Vietnam and Cambodia in implementing the agreement. The agreement was officially signed on the occasion of… – Continue reading
HM Revenue and Customs (HMRC) is urging UK taxpayers to come forward and declare any foreign income or profits on offshore assets before 30 September to avoid higher tax penalties New legislation called “Requirement to Correct’ requires UK taxpayers to notify HMRC about any offshore tax liabilities relating to UK… – Continue reading
The cryptocurrency industry is still at a very early stage of its development, so there are no single international rules yet. The governments of individual countries independently try to regulate digital assets. The tax on the cryptocurrency varies in different countries. Within the framework of this article, we will try… – Continue reading
