It is all about transfer pricing issue which is not unique to India. Still, the judgment of the Bombay High Court of October 10, 2014, in the case of Vodafone India Services vs Union of India, has drawn a lot more attention than it would otherwise have. The main reason… – Continue reading
Bruton says new business can be won after end of ‘Double Irish’ with fresh tax proposals More than 1,000 new jobs could be created based on commitments received from US multinationals on a Government trade mission, the Minister for Enterprise, Jobs and Innovation Richard Bruton said. Speaking at the end… – Continue reading
We are witnessing profound changes in the way that the world economy works. As a result of the growing pace and intensity of globalization and digitization, more and more economic processes have an international dimension. As a consequence, an increasing number of businesses are adapting their structures to domestic and… – Continue reading
The government has signed a deal to swap bank account information with 50 countries By Michelle McGagh, Nov 1, 2014 Chancellor George Osborne is looking happy this week. Along with 50 other countries he has signed an agreement to share individuals’ tax details in an effort to get those who… – Continue reading
The “Double Irish Dutch sandwich” sounds like something questionable you’d find on the menu at backpacker-run cafe. But it’s actually a notorious tax loophole in Ireland which allows huge multinational companies to get away with paying tiny amounts of tax through shifting money between multiple countries. For almost 30 years,… – Continue reading
Tax havens will no longer exist in five years as a result of sweeping rules to combat tax abuse, a leading global think-tank has said. Grace Perez-Navarro, of the Organisation for Economic Co-operation and Development (OECD), which is leading a crackdown on tax avoidance and evasion, said that banking secrecy… – Continue reading
The implementation of ‘Transfer Pricing’ regulations needs a relook as most of the disputes on tax from global business community is on transfer pricing, according to the industry body Bangalore Chamber of Industry and Commerce (BCIC) Chairman Direct Taxes Expert Committee K R Sekar. Delivering his address on ‘Transfer Pricing… – Continue reading
HA NOI (VNS) — Appropriate policies and enhanced management capacity are critical in the fight against transfer pricing to ensure a healthy business investment environment in Viet Nam, said experts on Wednesday. They were participating in an online discussion on the Government’s e-portal. Transfer pricing is causing losses to the… – Continue reading
People may not like paying tax. But what is even less popular is the thought they have no choice while others have much more control over their tax bills. Several high-profile companies make millions of pounds worth of sales in the UK. But a series of media exposes found that… – Continue reading
Multinational firms which exploit loopholes to avoid paying tax in the UK will be pushed to “damn well pay,” David Cameron said on Thursday. The PM’s statement was denounced as disingenuous by global tax expert and UK economist Richard Murphy. Cameron’s comments follow recent controversy over the manner in which… – Continue reading
In one of the bluntest statements on the topic by any globalist thus far, controversial German Finance Minister Wolfgang Schäuble (shown) openly called for “global standards” and “global governance” in taxation to ensure that governments can continue extracting huge sums in taxes from the wealth-producing class in perpetuity. In an… – Continue reading
In the fight against tax evasion, member banks of the Association of Cyprus Banks (ACB) are currently in the process of implementing the Foreign Account Tax Compliance Act (FATCA), in anticipation of the upcoming intergovernmental agreement between the United States of America and Cyprus, ACB Director General Michael Kammas said…. – Continue reading
Taxes are the price of a civilised society and without them no state can provide social infrastructure, alleviate poverty, subsidise corporations or rescue distressed banks. But tax revenues are under relentless attack and corporate ingenuity in avoiding taxes shows no limits. Companies have become very adept at shifting profits to… – Continue reading
Public Accounts Committee chair Margaret Hodge has called for a tougher tax regime that closes loopholes exploited by companies and prosecutes avoidance schemes. Speaking at a debate on tax reform at national and international level yesterday, Margaret Hodge said it was ‘unfair’ and ‘offensive’ that companies and individuals could take… – Continue reading
As the OECD’s proposals for global reform of corporate taxation advance, the challenge facing the Government is how best to adapt to major change, while ensuring Ireland remains competitive and continues to attract foreign direct investment. In the budget, Minister for Finance, Michael Noonan took a bold first step by… – Continue reading
On a day when it furnished before the Supreme Court the full list of 627 Indians having accounts in foreign banks, the NDA government put off the signing of a crucial multilateral agreement aimed at facilitating access to financial information on taxpayers abroad. This has been prompted by the uncertainties… – Continue reading
BERLIN – We are witnessing profound changes in the way that the world economy works. As a result of the growing pace and intensity of globalization and digitization, more and more economic processes have an international dimension. As a consequence, an increasing number of businesses are adapting their structures to… – Continue reading
Ireland’s Enterprise Minister Richard Bruton is undertaking his first investment mission since the Government announced major changes to the corporate tax regime as part of Budget 2015. Bruton is visiting the East Coast of the US as part of a program of engagement by the Government with multinational companies on… – Continue reading
European prosecutors and tax authorities are intensifying an investigation into a huge tax avoidance trading scheme costing European countries hundreds of millions of euros. The investigation centres on complex stock trades that major banks allegedly use to earn tax rebates. The practice was revealed by the Bureau three years ago…. – Continue reading
New Delhi/Berlin, Oct 29: India today failed to attend an OECD meeting in Berlin where a multilateral agreement requiring a commitment to follow international standards of confidentiality for information received relating to black money was signed. Official sources said that India was not able to attend the Berlin meeting where… – Continue reading
Financial institutions including fund managers will need to up the ante on client due diligence and bolster investor reporting following the Organisation for Economic Cooperation and Development’s (OECD) agreement on the automatic exchange of information. The OECD’s Common Reporting Standard (CRS) will force national authorities in the 51 signatory states… – Continue reading
Non-residents will only be able to purchase land in Sri Lanka through long lease agreements and purchases will be subject to payment of a land lease tax (LLT), under the Land (Restrictions on Alienation) Act, which was recently given parliamentary approval. In accordance with regulations which have been provisionally applied… – Continue reading
VietNamNet Bridge – Recent surveys about the tax policies applied to foreign-invested enterprises (FIEs) show that Vietnamese have become choosier about foreign direct investment (FDI) and FIEs (foreign-invested enterprises). “Do you think that the FIEs in Vietnam are transparent in tax payments?” was one survey question raised by Thoi Bao… – Continue reading
In its first report submitted to the Supreme Court, the Special Investigation Team (SIT) on black money has sought an investigation unit, with the Enforcement Directorate as the nodal co-ordinating agency. The court-appointed SIT, headed by retired Supreme Court judges M B Shah and Arijit Pasayat, has made several recommendations… – Continue reading
The European Court of Justice has ruled against Italian gambling tax legislation, which taxes winnings from games of chance that are obtained in other EU member states but exempts such winnings obtained in Italy. The Court said that by exempting from income tax only winnings from games of chance obtained… – Continue reading
US banana producer and distributor Chiquita has decided to terminate its proposed inversion with its rival Fyffes, in a deal which would have involved moving its tax residence to Ireland, and will instead be acquired. Chiquita’s decision comes after the announcement of non-legislative measures by the US Treasury Department on… – Continue reading
MOSCOW, October 28 (RAPSI) – Russia’s Economic Development Ministry claims that mandatory ‘deoffshorization’ aimed at moving business activities of Russian companies from offshores back to the country entails considerable risks for the companies and the slowing economy of the country, Interfax reported on Tuesday, citing a letter sent to the… – Continue reading
Background The “Authorized OECD Approach” (“AOA”) rule for taxation of permanent establishments (“PE”) was introduced in Japan’s 2014 tax reform and will be applied to fiscal year commencing April 1, 2016. The new rule includes changes to source rules, the introduction of transfer pricing to intra-company transactions, and the introduction… – Continue reading
Did you hear the one about the billionaire mogul who thought the way to fix inequality was to cut corporate taxation? But wait, here’s the kicker – he’s one of the world’s biggest tax dodgers, but he wants a crackdown on the tax dodging of his competitors. The more we… – Continue reading
Wright Medical Group Inc. (WMGI), a U.S. maker of bone implants, will merge with Tornier NV, creating a new company valued at $3.3 billion in the latest proposed tax inversion since tighter rules were announced last month. The legal address for the new company, to be called Wright Medical Group… – Continue reading
(Bloomberg) — The U.S. attempt to stop companies from leaving the country for tax reasons won’t stop Pfizer Inc., which is still considering a deal to move America’s biggest drugmaker abroad, said Chief Executive Officer Ian Read. “I see no reason why we wouldn’t be able to do an inversion,”… – Continue reading
(Reuters) – Giving Scotland more tax-raising powers would increase the complexity of Britain’s already-lengthy tax code and may create new loopholes for tax avoidance, accountants and tax advisors told British legislators on Tuesday. Scottish voters rejected independence from Britain in a referendum last month, swayed in part by British politicians’… – Continue reading
Brisbane summit an opportunity for change and Australia welcomes its neighbour’s help, says Michael Potts. In a few weeks, Australia will welcome leaders of the world’s major economies to Brisbane for the G20 Summit. Australia invited New Zealand to take part in the G20 during our 2014 presidency. Over this… – Continue reading
The International Monetary Fund is encouraging Caribbean governments to reform their tax policies to encourage greater private sector investment in an effort to boost economic growth. The proposal comes after a two-day high-level forum, Unlocking economic growth, in Montego Bay, Jamaica to discuss possible improvements in energy provision, tax regimes… – Continue reading
Britain’s taxman HM Revenue & Customs (HMRC) paid out £400,000 in 2013 to whistleblowers who notified the authority of people who had avoided paying tax through elaborate schemes. According to a Freedom for Information (FoI) request, made by the Telegraph, whistleblower payouts ranged from £50 (€63, $81) to £1,000. The… – Continue reading
At the Justice Department, senior officials like to congratulate themselves on the headline-making, big bucks settlements they have imposed upon banks and lenders for their part in causing the 2008 mortgage meltdown that sparked the biggest American financial crisis since the Great Depression. But wait a moment. Those settlement figures… – Continue reading
NEW YORK–(BUSINESS WIRE)–Tax inversion deals have effectively been repriced by the US Treasury signaling an end to “hop-scotch” loans and other tax structuring opportunities, according to Fitch Ratings. AbbVie’s purchase of Shire and the planned merger of Salix Pharmaceuticals and Cosmo Technologies, both pulled since the Treasury announcement, were scuttled… – Continue reading
73 per cent of Americans who live outside the U.S. are tempted to give up their U.S. passports in response to the introduction of FATCA (Foreign Account Tax Compliance Act), reveals a new survey by one of the world’s largest independent financial advisory organizations. The findings come as Federal Register… – Continue reading
KIGALI, Rwanda – The need of a tax law on reverse VAT to be harmonized among EAC states was highlighted during the recently concluded East African Business Summit that took place in Kigali. “Tax law on reverse VAT can be harmonized among EAC states,” Rwanda Revenue Authority Commissioner General Richard… – Continue reading
Genuine tax planning will remain legitimate despite a new anti-avoidance crackdown relating to inheritance tax, says a tax partner at Lodders Solicitors in Cheltenham. Eamonn Daly said HM Revenue & Customs was only after those who constantly tried to push the boundaries, coming up with ruse after ruse. He explained:… – Continue reading
Irish Finance Minister Michael Noonan has published the 2014 Finance Bill, which gives effect to the tax reforms announced in his Budget and introduces a number of new anti-avoidance measures. Noonan’s October 14 Budget included plans to reduce the marginal tax rate from 52 percent to 51 percent, through a… – Continue reading
The number of Americans renouncing U.S. citizenship increased 39 percent in the three months through September after rules that make it harder to hide assets from tax authorities came into force. People giving up their nationality at U.S. embassies increased to 776 in the third quarter, from 560 in the… – Continue reading
SPECULATION is swirling over what the Treasury will do to raise R44-billion in additional tax revenue over the next three years — without inflicting too much pain on a fragile economy. Finance Minister Nhlanhla Nene confirmed that there would be tax policy and administrative “reforms” to shore up flagging revenue… – Continue reading
The Treasury Department has spent millions of dollars on federal contracts for companies that have shifted their legal address abroad, even as the Obama administration pushes to rein in the practice. Just last month, Treasury Secretary Jack Lew moved to limit the appeal of those tax deals, known as inversions,… – Continue reading
The sovereignty of individual nations is increasingly under threat from international governance bodies that want to force a range of new regional and international taxes on states. The latest attempt to bypass state sovereignty occurred when the World Health Organization (WHO) met behind closed doors in Moscow last week. In… – Continue reading
Measure means small shareholders will face no tax bill over recent windfall from telecoms group under €1,000 In February, following the sale of its stake in US telecoms group Verizon, Vodafone paid more than €600 million back to its 380,000, mostly small-scale, Irish investors. At the time, shareholders could choose… – Continue reading
This year’s Bill makes it easier for Revenue to refuse tax reliefs The Finance Bill represents a significant upping of the pressure from the Revenue Commissioners in closing off what it sees as the improper use of tax avoidance schemes. In most Bills there are measures to close off some… – Continue reading
The Swiss Federal Council has launched a consultation on legislation for the unilateral application of the Organisation for Economic Cooperation and Development’s (OECD’s) Standard on the Exchange of Information to all double tax agreements that are not already in line with this model. The legislation would only involve the exchange… – Continue reading
There’s no doubt the arms length principle has holes, and it may be the time to reconsider the way governments approach transfer pricing Amazon, Fiat, Vodafone, Starbucks, Apple… The list of companies facing scrutiny for their failure to properly implement the arms length principle into their transfer pricing policies this… – Continue reading
With the announced end of banking secrecy for non-residents, the time has come to make use of favourable repatriation schemes, such as the voluntary disclosure regime in Italy. Despite increasing pressure for fiscal transparency and exchange of information, beneficial owners still have a choice: move the capital out (of Luxembourg),… – Continue reading
