New Zealand’s lack of overseas investment regulation is being promoted in Shanghai and Hong Kong to help sell apartments rising on the site of the country’s best-known record store. “NO stamp duties and property purchase tax, NO capital gains tax on residential property if sold after two years of holding,”… – Continue reading
Measures to plug loopholes for tax avoidance will take effect in 2016, aimed at helping raise tax revenue by at least 10% or 200 billion baht a year. Increasing efficiency in tax collection and cracking down on tax dodging are crucial because the country needs a hefty amount of money… – Continue reading
NEW DELHI: To protect confidentiality of tax information from abroad, the CBDT has warned of stern action against those making unauthorised disclosures as it amounts to breach of treaty commitments and cause embarrassment to the government. The Central Board of Direct Taxes (CBDT) said the confidentiality of taxpayers’ information has… – Continue reading
The abiding complaint of those who believe offshore buyers are driving the rise in real estate prices in Metro Vancouver is the lack of data to prove it. How can you identify a problem if you can’t quantify it? The corollary to that complaint is the provincial government’s apparent inability,… – Continue reading
Post Finance, the banking arm of the Swiss post office, has informed clients living abroad that their credit cards will be cancelled at the end of October. The Organisation of the Swiss Abroad (OSA) has criticised the decision that has been motivated by tightening money laundering and tax evasion regulations…. – Continue reading
The IRS’ investigation into Microsoft books centers on how the company uses its overseas subsidiaries for tax purposes. The company says the IRS audit has gone on long enough and the federal agency improperly hired an outside law firm to help in the investigation. Microsoft and the federal government have… – Continue reading
After almost a year of wrangling, the EU Council and the European Parliament have finally reached an agreement on a new Anti-Money Laundering Directive. The 4th AML Directive expands the scope of its predecessor (which was adopted in 2005, before the global banking scandals and the push towards tax transparency)… – Continue reading
Germany and the Netherlands have signed a new agreement that provides for the “spontaneous” exchange of information on advance pricing agreements and advance tax rulings. The agreement was signed in Brussels on July 14, 2015. Under the new agreement, both countries have committed to the mutual exchange of information on… – Continue reading
HM Revenue and Customs (HMRC) has launched four consultations on the UK Government’s proposed new approach to tackling offshore tax evasion. Under the proposals, corporates who are deemed to have failed to prevent tax evasion or the facilitation of tax evasion would face a criminal offence. A separate strict liability… – Continue reading
July 17: The Japanese Ministry of Finance on 16 July 2015 announced that the governments of Japan and Germany reached an “agreement in principle” for a new income tax treaty. The new treaty would replace the existing agreement signed in 1966, and subsequently amended in 1979 and in 1983. According… – Continue reading
FACTA requires Americans living abroad to report bank accounts holding in excess of $50,000 along with their annual tax returns. Seven people, including U.S. Republican candidate Rand Paul and a Jerusalem attorney, are suing the U.S. Treasury Department and Internal Revenue Service asserting that the Foreign Account Tax Compliance Act,… – Continue reading
The drug industry has been labelled “passive aggressive” after responding to tough questions over its use of tax minimisation by warning paying more tax would damage the economy. The warning was contained in a “supplementary submission” to the Senate tax avoidance inquiry, following a public hearing a fortnight ago that… – Continue reading
July 17: A large manufacturing company has resolved its transfer pricing issues by means of a mutual agreement procedure (MAP) reached between India and Japan. The MAP was signed in less than a year of its application, following two meetings between the Competent Authorities of India and Japan. The MAP… – Continue reading
Investing in hard currency has become much easier. CAPE TOWN – For years, South Africans have been used to the idea of exchange controls. Since the 1960s, they have been something we have learnt to live with. However this year’s national budget really put an end to them as far… – Continue reading
The Coalition for Tax Competition (CTC) sent a letter to members of the US Congress on July 14, calling on them to protect American interests in talks on the work of the Organization for Economic Cooperation and Development (OECD) on base erosion and profit shifting (BEPS). The CTC urged Congress… – Continue reading
The Economic Freedom Fighters (EFF) said it would like to see prison sentences imposed on business executives who moved cash to tax havens – where the rate of taxation is lower than in South Africa – “to deal decisively with transfer pricing and illicit financial flows”. This is one of… – Continue reading
Guernsey has for some time been the domicile of choice for non-UK companies listing on the main market of the London Stock Exchange (“LSE”), the Alternative Investment Market (“AIM”) and the Specialist Funds Market (“SFM”). The Island has developed expertise in the set up and administration of a range of… – Continue reading
At a global summit that addressed how illicit financial flows interfere with reducing poverty, wealthy nations rejected a plan to expand the UN’s power to fight global tax evasion. The plan, promoted by developing economies and transparency groups, was the subject of the meeting between delegations of UN members from… – Continue reading
India and Mauritius are set to limit the benefits of their double tax avoidance agreement (DTAA) to only genuine businesses bringing foreign direct investment to India by inserting a new clause in the treaty straight from New Delhi’s yet to be implemented General Anti-Avoidance Rules (GAAR). The revised treaty, however,… – Continue reading
1MDB scandal prompts regulator to outline S’pore’s anti-money laundering regime The financial regulator has outlined Singapore’s anti-money laundering regime after an unfolding scandal at 1Malaysia Development Bhd (1MDB) put the private banking industry here in the spotlight. The Monetary Authority of Singapore (MAS) said yesterday in a statement: “Singapore is… – Continue reading
Taipei, July 16 (CNA) Chinese yuan-denominated deposits held by banks operating in Taiwan as of the end of June hit a new high, but growth has shown signs of moderating, according to the central bank. Statistics released by the central bank on Wednesday indicate that the balance of yuan deposits… – Continue reading
About 700,000 taxpayers are likely to face tax rises as a result of George Osborne’s “major and long overdue reform” of dividend taxation that is set to raise £2.5bn next year, the Financial Times reports. It will push up the tax bills of top-rate taxpayers receiving more than £25,250 in… – Continue reading
The Caribbean Community (CARICOM) had every right to be outraged – as was expressed by its leaders at their recent summit in Barbados – over the decision by the European Union (EU) to name and shame eight of its members for supposedly failing to cooperate against the use of their… – Continue reading
The taxes of large French companies grew 1% in 2014 globally. Concerned about their reputation, they are more cautious on tax optimization. Total, BNP Paribas and Credit Agricole, the leading trio of CAC 40 companies who have scored more tax in 2014 globally, according to calculations by PwC Law Firm… – Continue reading
Switzerland lies in “pole position” to gain from changes to the UK tax system which could encourage high net worth individuals living there to consider moving, according to a leading tax expert, John Huber. However, Malta should be doing more to attract a share of them, he said. “Chancellor George… – Continue reading
In May 2012, Cyprus introduced a package of incentives and tax exemptions relating to investment in intellectual property rights, commonly known as an “IP box.” Intellectual property projects are particularly susceptible to cross-border planning by reason of the mobility of intellectual property rights, which do not consist of physical assets… – Continue reading
July 15 — The IRS national taxpayer advocate told lawmakers she will keep up the pressure to lighten the compliance and implementation burdens of the Foreign Account Tax Compliance Act. In part of a mid-year report to Congress on the office’s 2016 objectives, Taxpayer Advocate Nina E. Olson said July… – Continue reading
DEVELOPED countries throughout the world are stepping up efforts to curb base erosion and profit shifting (BEPS), a scheme used by multinational companies to avoid paying taxes estimated as high as $200 billion globally, especially when doing business across different jurisdictions. At the 2015 Asia Pacific Tax Symposium hosted last… – Continue reading
In response to the economic downturn and the growing need for tax revenues, the Italian Tax Authorities (ITA), like authorities in many other jurisdictions, have more aggressively targeted multinationals and their tax planning strategies in recent years, resulting in more domestic and international tax controversies. Transfer pricing (TP) issues account… – Continue reading
Tax avoidance by big companies costs Africa tens of billions of dollars in revenue every year, continent’s leaders say at big meeting in Addis. AS the world grapples to find the cash to end poverty and battle climate change, African leaders at a global development summit being held in Ethiopia… – Continue reading
Treasurer Joe Hockey has reaffirmed his commitment to addressing bracket creep in the upcoming tax review, but has refused to include changes to politically sensitive areas like superannuation concessions, negative gearing and GST, pushing back the onus on the states for GST reform. When it comes to the GST, Mr… – Continue reading
Over the past few months, several foreign portfolio investors registered in India have received notices from the Indian tax authorities demanding payment of Minimum Alternate Tax in respect of transactions which took place over the course of prior assessment years. The Indian Government has indicated that it could raise several… – Continue reading
The U.S., Japan and Europe are being accused of blocking developing countries from participating in efforts to combat international tax evasion. Policymakers have been gathered this week in Addis Ababa, Ethiopia for the 3rd Financing for Development Conference, where discussions have been underway about ways to combat corporate tax evasion…. – Continue reading
Treasurer Joe Hockey has taken aim at the United States for dragging its feet on taxing multinationals such as Google, and says the Obama administration now wants to come after Australia’s tax base. Australia has been working with the United Kingdom on a local version of Britain’s ‘Google tax’ to… – Continue reading
MUMBAI: The government may soon clarify tax rules making it easier for fund managers operating large India-dedicated funds to set up an office in the country, four months after finance minister Arun Jaitley announced in the budget about the government’s intentions to do so. The finance ministry and the central… – Continue reading
Republican presidential candidate Rand Paul sued the Treasury Department and Internal Revenue Service over rules on how Americans abroad are taxed and what foreign banks must disclose about U.S. customers. The Foreign Account Tax Compliance Act is supposed to make it harder to hide assets overseas, yet its regulations are… – Continue reading
Industry body says hedge funds in Britain almost never use the carry system targeted by George Osborne in last week’s Budget, The Telegraph reports Hedge funds have claimed they were unfairly singled out in a Budget crackdown on the “carried interest” tax loophole, arguing that almost no British funds are… – Continue reading
The battle between online gambling companies and the Government over the new tax on internet-based betting has escalated after the dispute was referred to Europe, The Telegraph reports. The High Court on Tuesday ruled that the Luxembourg-based Court of Justice of the European Union (CJEU) should decide on the issues… – Continue reading
Energy giants called to explain billions in tax havens To describe Gorgon as another super-sized resources project in Western Australia does not do justice to the scale and scope of the venture. When the taps are turned on later this year and liquefied natural gas begins to flow, Australia will… – Continue reading
Abu Dhabi: The UAE’s Ministry of Finance (MoF) announced that the Foreign Account Tax Compliance Act (Fatca) Guidance Notes along with a Registration Form to access the Fatca reporting portal are now available on the Ministry’s website. The Guidance Notes provide a detailed explanation of the Fatca, and the terms… – Continue reading
Since December 2012, French companies have been liable for a 3 percent tax on distributions to their shareholders (3 Percent Tax), but practitioners have widely questioned whether this tax is compliant with the provisions of the EU treaties and the double tax treaties signed by France. French subsidiaries whose parent… – Continue reading
Whether or not the point-of-consumption tax (POC) enacted by the United Kingdom in 2014 is a barrier to the free trade of services across the European Union is a question that will now head to the Court of Justice of the EU, following a ruling in a UK case yesterday…. – Continue reading
In a recent case involving Next Brand Ltd, the First-Tier Tribunal ruled in favor of HM Revenue & Customs (HMRC), finding that double tax relief was not available for dividends that in effect represented loan repayments. Background Prior to the introduction of the dividend exemption, when a UK parent company… – Continue reading
FATCA Agreement Signed On 10 July 2015, Georgia and the United States signed a Foreign Account Tax Compliance Act (FATCA) Agreement. FATCA seeks to obtain information on accounts held by U.S. taxpayers in other countries. It requires U.S. financial institutions to withhold a portion of certain payments made to Foreign… – Continue reading
The Ministry of Finance of the United Arab Emirates (UAE) announced that the Foreign Account Tax Compliance Act (FATCA) reporting deadline is set on 30 July 2015. In addition, on 6 July 2015, the Ministry of Finance issued the first set of guidance notes for implementing the FATCA Agreement. The… – Continue reading
The Supreme Court has overturned a lower court’s ruling that the government’s comprehensive real estate taxation system is being run correctly, saying real estate owners have been double-taxed on some of their holdings. In a lawsuit filed by 25 Korean companies, including KT and the Korea Electric Power Corporation, against… – Continue reading
The world can end the AIDS epidemic by 2030, the United Nations said on Tuesday, highlighting global success in rolling out life-saving drugs over the last 15 years. The UN Millennium Development Goal to halt and reverse the spread of the disease has been achieved, said UNAIDS, the global body’s… – Continue reading
New Zealand China Council chairman Sir Don McKinnon says we need to have a national debate on housing that avoids sending mixed messages to valued overseas partners. New Zealand is far from alone in having a red hot property market. Headlines in Australia, Britain and Canada paint a strikingly similar… – Continue reading
Mauritius’ former finance minister claims that his country has given up the right to tax capital gains. This has raised questions regarding the scope of the renegotiation of the India-Mauritius Double Tax Avoidance Treaty (DTAA) Former finance minister of Mauritius says renegotiated tax treaty with India will have devastating effect… – Continue reading
Advisers have been warned that time is running out to utilise the Liechtenstein Disclosure Facility (LDF) before it is replaced by a stricter system at the end of the year. The agreement between Liechtenstein and HM Revenue & Customs, which offers clients with undeclared offshore assets an opportunity of anonymously… – Continue reading
