The Hong Kong bourse has launched a special segregated accounts system for Stock Connect in an attempt to address investors’ concerns over the much-criticised pre-trade checking rules. A reformed trade settlement system was rolled out to Stock Connect investors yesterday in a bid to address concerns over the pre-trade checking… – Continue reading
The OECD Mutual Agreement Procedure Statistics for 20131 (MAP Statistics), released on November 25, 2014, show a dramatic surge in the inventory of mutual agreement procedure (MAP) cases among OECD member countries. The MAP Statistics confirm that the potential for double taxation is increasing. This is reflected most starkly in… – Continue reading
On April 2, 2015, the Israeli tax authority (“ITA”) published a draft new circular containing new and unprecedented guidelines with respect to the income tax and VAT aspects applicable to foreign enterprises that transact with Israeli customers over the internet (“the Circular” and “Foreign Enterprises”, respectively). The Circular, in its… – Continue reading
Vietnamese tax inspectors have found multiple violations at the local subsidiary of German retail giant Metro, estimating them to be worth VND507 billion (US$23.7 million). Of the total amount, Metro Cash & Carry Vietnam was ordered to immediately pay VND62 billion ($2.8 million) in arrears of income taxes for its… – Continue reading
U.S. guards at Canada’s rail hubs? April 20 If years from now, we discover that Prime Minister Stephen Harper turned out to be working for the U.S. government, who could be surprised? He almost had Peter MacKay indenture us to Lockheed Martin for 65 ruinously expensive F-35s. When he isn’t… – Continue reading
“The business tax system today is inefficient, overly complex, and too riddled with loopholes,” said Mark Mazur, assistant secretary for tax policy at the U.S. Department of Treasury. So much so, in fact, that it can’t fulfill its function to be a world-class system, he noted. Mazur, speaking Tuesday at… – Continue reading
The National Taxpayer Advocate made three specific recommendations to the IRS last week to try to simplify the process for reporting foreign assets. For several years the National Taxpayer Advocate has complained that the disclosure requirements for FBAR (Report of Foreign Bank and Financial Accounts) and Form 8938 (Statement of… – Continue reading
SOUTH Africa’s Finance Minister Nhlanhla Nene says African leaders need to focus more on tax policies and the diversification of tax resources in order to foster growth. Speaking at an African Tax Administration Forum conference on Tuesday, he said the global focus on international taxation offered a unique opportunity for… – Continue reading
The National Taxpayer Advocate has recommended that the reporting rules under the Foreign Account Tax Compliance Act and for foreign bank account reports in effect be merged to simplify the duplicative disclosure requirements that make it difficult for American expatriates to have bank accounts in the foreign countries where they… – Continue reading
ISLAMABAD: To check the revenue-related corruption and tax evasion of an estimated Rs2,000 billion annually, the National Accountability Bureau, on the recommendation of its committee of experts, has sent to the FBR a comprehensive package for implementation to overhaul the country’s tax machinery. The creation of an independent Pakistan Revenue… – Continue reading
Australia’s $29 billion system of franking credits for investors is skewed heavily to the rich and is ripping a hole in the budget, a new analysis has found, with one tax break found nowhere else in the world costing almost $5 billion a year. Millions of Australians benefit from franking… – Continue reading
Apple Australia denies tax avoidance but the numbers just don’t add up. The media spokeswoman for Apple Australia has been very busy the past two weeks. Her boss appeared at a Senate hearing on corporate tax evasion a couple of weeks ago, so she’s had to do some mopping up… – Continue reading
Summary:Australia and the UK have reached a deal aimed at helping tackle profit-shifting practices by multinational companies, such as Apple, Google, and Microsoft. Australia and the United Kingdom have agreed to form a joint working group to tackle profit shifting by multinational companies such as Google, Apple, and Microsoft. The… – Continue reading
International plans for gathering and analysing data on the extent to which multinational companies are artificially shifting their profits to low-tax jurisdictions are at a disappointingly early stage, an expert has said. Heather Self of Pinsent Masons, the law firm behind Out-Law.com, also said that the global governments involved in… – Continue reading
In his recent article, “A Cursory Analysis of the Impact of Combined Reporting in the District”, Dr. Eric Cook claims that the District of Columbia’s (D.C. or the District) newly implemented combined reporting tax regime is an effective means of increasing tax revenue from corporate taxpayers, but it will have… – Continue reading
In recent years we have seen a seismic shift in the tax transparency landscape. The US Foreign Account Tax Compliance Act (US FATCA) has proved to be a watershed moment and we are rapidly moving towards a global network of automatic information exchange spearheaded by the OECD’s Common Reporting Standard… – Continue reading
CHINA Tax Free Reorganisations • With circulars 109 and 116 jointly issued in December 2014 by the Ministry of Finance and the State Administration of Taxation, the Chinese authorities have relaxed the conditions for internal reorganisations. • Circular 109 deals with internal reorganisations. Provided the pertinent requirements are met, the… – Continue reading
The Union Finance Minister, Arun Jaitley, expressed concern over transfer pricing and several other measures taken by MNCs to avoid paying tax on international transactions. The Dollar Business Bureau Stressing on the need to keep a check on tax evasion by multi-national companies (MNCs), India has asked the G20 members… – Continue reading
THE xenophobic attacks that have rocked SA over the past two weeks will continue to dominate headlines this week. The crisis at Eskom will also be keenly watched following the appointment of Transnet CEO Brian Molefe as Eskom acting CE. Hopes are high that Mr Molefe — who has had… – Continue reading
The Internal Revenue Service (IRS) is seeking to recoup $2.03 billion from Texas businessman Samuel Wyly and $1.19 billion from his brother’s estate. The massive bill owed by Sam Wyly and the estate of Charles Wyly is believed to be the biggest in history. Brothers used trusts to avoid taxes… – Continue reading
Vodafone’s long-standing tax woes in India have hit another hurdle after the country’s income tax department asked the operator to re-file its 2009-10 tax return for re-assessment. An inside source told the Economic Times he didn’t know what triggered the request, but the tax authority is looking to review the… – Continue reading
The government’s recent steps to check the flow of unaccounted wealth to foreign assets and bank accounts have had the unintended result of making tax compliance tough for expatriates on corporate assignments here, who have legitimate assets in their home countries, say experts. The tax troubles of these people over… – Continue reading
UK Chancellor George Osborne and Australian Treasurer Joe Hockey have committed to establishing a working group to urgently consider and develop initiatives centered around the UK’s Diverted Profits Tax. The announcement was made at the Group of Twenty (G-20) Finance Ministers and Central Bank Governors Meeting, which was held in… – Continue reading
The Senate inquiry into corporate tax avoidance will unexpectedly return on Wednesday after the Australian Taxation Office requested a supplementary public hearing to refute allegations made in evidence by former ATO executive Martin Lock. Mr Lock told the inquiry earlier this month that the Tax Office gives up “billions of… – Continue reading
Business is braced for a slew of new anti-avoidance measures after the UK general election next month as politicians compete on promises to raise billions of pounds from closing tax loopholes, reports the Financial Times. A cross-party consensus is emerging over the scope for a renewed crackdown. Last week Vince… – Continue reading
India and China developing frameworks for Reits but while their sheer sizes impress, both face tax and high interest rate hurdles, reports the Business Times. India and China are both developing frameworks for real estate investment trusts (Reits), but the threat to Singapore’s position as a major regional Reit centre… – Continue reading
Technology companies with international operations are increasingly using global tax avoidance methods, despite growing opposition from the public and politicians in the U.S. and abroad. As this opposition fuels ongoing changes in tax rules, organizations must be able to quickly adapt their corporate structures and tax strategies to maintain a… – Continue reading
NEW DELHI: Tax authorities have issued a fresh notice to UK-based telecom giant Vodafone seeking reassessment of tax returns for two years. The notice has been served under Section 148 of the Income Tax Act which seeks to deal with income that has escaped assessment. Sources said the notice seeks… – Continue reading
EUROPEAN M&A DOS AND DON’TS FOR NON-EUROPEAN BUYERS Inbound M&A in Europe by non-European buyers increased in 2014 by 68.6% compared to 2013, representing over a third of USD 901.4 billion total European M&A.1 For non-European buyers the basic framework of transactions may be similar, but there are a number… – Continue reading
Bangladesh authorities are working with counterparts abroad to recover proceeds of corruption (‘stolen assets’), in terms of the UN Convention Against Corruption (UNCAC), Bangladesh Bank (BB) Governor Dr. Atiur Rahman has said. The central bank chief disclosed this while speaking at an event title Addressing the Linkage Illicit Flows and… – Continue reading
Tensions between Swiss banks and the United States justice authorities should ease up in 2015, Finance Minister Eveline Widmer-Schlumpf has said on the sidelines of the joint International Monetary Fund and World Bank spring meetings in Washington. The minister said she had received positive signals that this year would bring… – Continue reading
BATON ROUGE – As they look for ways to solve next year’s budget problems, Louisiana lawmakers are getting a crash course in the state’s tax system: the loopholes they’ve created, the tax cuts they’ve given and the price tag for the myriad of tax breaks they’ve approved. Now, Democrats and… – Continue reading
Case against former head of IMF and finance minister, arrested on tax evasion charges, is damaging to People’s party, Spanish PM acknowledges Spain’s ruling party is scrambling to limit the damage after one of Europe’s most high-profile politicians was arrested on charges of tax evasion and money-laundering. The prime minister,… – Continue reading
Bankrupt ex-billionaire Samuel Wyly was accused by regulators of hiding the ownership of a luxury Colorado ranch in a possible bid to avoid paying creditors as much as $50 million in future sale proceeds. Wyly’s proposed plan to sell the 244-acre property — the site of several mansions used by… – Continue reading
Finance Minister Arun Jaitley has sought urgent implementation of common reporting standards on automatic exchange of information globally, asserting that it is the only way to tackle the challenges posed by black money and stop tax evasion. The problem of offshore tax evasion and flow of illicit money can be… – Continue reading
The United Kingdom (UK) has followed Germany in lodging a formal protest with the Finance Ministry over the alleged breach of confidentiality of data and secret banking details received via diplomatic channels. While German authorities objected to the manner in which 18 names of Indian account holders in the LGT… – Continue reading
Even as the government is losing no opportunity to emphasise its commitment to a transparent and predictable tax regime, it’s epic seven year tussle with Vodafone is not showing any signs of losing steam. The income tax department is back in pursuit of the British telecom giant and has issued… – Continue reading
To balance the books, Australians will have to pay more tax, the only questions being what will be taxed and how high the rate. Boasting glittering skyscrapers and label-clad youth, Singapore is the new jewel in the capitalist world’s crown. The city state is home to the third-highest density of… – Continue reading
MUMBAI: In a fresh crackdown on suspected tax evasion and laundering of black money through stock markets, regulator Sebi today barred Mishka Finance and TradingBSE -1.93 % Ltd and 128 other entities from the securities market. While the total amount involved could not be ascertained, these entities are estimated to… – Continue reading
Finance Minister Arun Jaitley, who had previously stated that India was not a tax haven and legitimate dues from foreign investors will be pursued, had earlier this week said that “the amount involved is Rs 40,000 crore.” Refusing to relent on a Rs 40,000 crore tax demand on foreign portfolio… – Continue reading
Macquarie Telecom has given full voice to an extremely serious problem facing Australian technology companies: That is, the gaming of the global tax system by multinationals puts Australia’s home-grown technology players who pay tax in Australia at a significant competitive disadvantage. This is a simple equation. It doesn’t matter how… – Continue reading
TACKLING tax evasion and dealing with the fast-growing digital economy were top of the agenda at a conference on taxation yesterday. Singapore’s Senior Minister of State for Finance and Transport, Mrs Josephine Teo, told the event that the tax authorities around the world are acting to address tax dodges more… – Continue reading
Promising a ‘modern tax system’ with low and globally competitive rates, Finance Minister Arun Jaitley has assured foreign investors against any retrospective action and said taxpayers will be seen as “partners and not as potential hostages or victims”. For domestic taxpayers also, the rates need to be low as taxes… – Continue reading
CHEYENNE, WY, April 17, 2015 /24-7PressRelease/ — OUTPOST PROVISIONING LLC today announced the launch of its “Wyoming…the Offshore Alternative” campaign alongside release of its Wyoming Paymaster Purpose Trust product. “Wyoming…The Offshore Alternative” touts Wyoming as being the Offshore-equivalent for wealth protection without the inconvenience, scrutiny, compliance costs and risks involved… – Continue reading
Nothing is certain in India except death and tax disputes. Ask foreign portfolio investors: they now face demands for past dues of as much as $6.4 billion. The wrangle stems from the Minimum Alternative Tax, or MAT, which officials say leads to a 20 percent levy on capital gains by… – Continue reading
Chinese authorities will cooperate with Indonesia to confiscate more than $500 million of ill-gotten assets illegally transferred to China by corrupt Indonesian banking officials. Under the Treaty on Mutual Legal Assistance in Criminal Matters between China and Indonesia that took effect in 2006, the Ministry of Justice will “give support… – Continue reading
Members of both houses of Congress in Washington D.C. are working to end offshore tax deals corporations are using to cut costs. “These companies, these corporations, want to avoid paying their fair share of taxes in the United States, sometimes billions of dollars and yet they want life to go… – Continue reading
For the majority of the public, including small business owners, Tax Day might not be our favorite time of year. However, it remains an important day because it means paying our dues for the numerous public benefits we receive, from our infrastructure and roads to our education system to our… – Continue reading
World-Herald Bureau WASHINGTON — Nebraska rancher John McFadden will be watching this week as the House votes on eliminating the federal estate tax that could affect how much of his 500-head cattle operation he leaves to his children. McFadden saw much of his grandfather’s land sold off to pay taxes… – Continue reading
If there’s a “most frustrating set of tax facts” to be considered today as this year’s Tax Week comes to a close, it’s got to be this: the billions of dollars that tax scofflaws cheat their fellow citizens out of and the conservative, budget-cutting policies that help enable it. As… – Continue reading
