The recent release of Ireland’s major strategy paper, ‘IFS2020 – A strategy for Ireland’s financial services sector 2015-2020’ addresses Ireland’s five year strategy in further developing the country as a global leader in the financial services sector. Over the past 25 years, Ireland’s international financial services sector has grown dramatically,… – Continue reading
How to ensure landowning clients do not have shortfalls and exposure to penalties Landowners in Queensland should expect increased scrutiny of their affairs for land tax purposes. It is expected the Queensland Office of State Revenue (Queensland OSR) will increase its land tax audit activity in 2015 so landholders and… – Continue reading
Attorney-at–Law and Compliance Specialist We are living in a time where the tax landscape facing the Bahamian financial services industry is changing and evolving rapidly. On November 3, 2014, the Government executed a Model 1 Intergovernmental Agreement (IGA) with the US government to implement the latter’s Foreign Account Tax Compliance… – Continue reading
China tax authority, the State Administration of Taxation (SAT) issued an announcement on March 18, in which it outlines a number of transfer pricing transactions which would no longer be eligible for tax deductions. The decision is effective immediately. The move follows an investigation into transfer pricing that first started… – Continue reading
ISLAMABAD: A three member high level delegation of Inland Revenue-Policy Wing of the Federal Board of Revenue (FBR) will attend a three day conference on regional taxation problems in the first week of April in Japanese capital Tokyo. The conference is funded by the International Monetary Fund (IMF) as well… – Continue reading
The Abbott Government will shortly release a discussion paper on the Australian tax system. It will be the first step towards the much anticipated tax white paper. International factors should figure prominently in the white paper — specifically, how to ensure that Australia has a resilient tax system given the… – Continue reading
CARACAS, VENEZUELA – Venezuela is launching a probe into large offshore bank deposits amid a spate of reports that at least $2 billion was siphoned off by corrupt, top-level officials at state-run oil company PDVSA. Chief prosecutor Luisa Ortega Diaz’s announcement Tuesday was the socialist government’s first response to the… – Continue reading
(CS) The Lord Mayor of the City of London was in Luxembourg Tuesday to meet with representatives of the financial sector and political decision-makers to discuss a number of issues, from BEPS to FTT and TTIP. Speaking to the press on Tuesday, Alan Yarrow explained that there is much common… – Continue reading
As part of the Small Business, Enterprise and Employment Bill which Parliament is expected to approve today, the government is attempting to implement a public register showing who really owns companies. The bill is a good example of how UK legislation can affect countries around the world, especially those in… – Continue reading
WASHINGTON (AP) — Cash-strapped Americans anxious for tax refunds are increasingly turning to payment advances, prepaid cards or other costly services when getting tax preparation help, according to new federal data raising concerns among regulators about whether consumers are fully informed about the fees. Regulators are looking to increase oversight… – Continue reading
Rather than installing a territorial tax system, the federal government should change U.S. securities rules, a law professor contends. Changing to a “territorial” tax system in the United States won’t ultimately stem the exodus of U.S.-based multinationals to lower-tax countries and could come at a significant cost in terms of… – Continue reading
The European Commission has published the first of two tax transparency packages to tackle corporation tax fraud and harmful tax competition in the EU. It is recommending greater co-operation across EU member states and the automatic exchange of information on tax rulings across EU countries, which sounds good on paper… – Continue reading
CARSON CITY — Buried in the 130-page tax bill that Gov. Brian Sandoval pitched to lawmakers last week, there’s a safe haven for mining, gaming, insurance and bankers. The tax, known as the business license fee, is a broad-based framework that would levy new dollars from the state’s 330,000 businesses… – Continue reading
In recent years, the miscellaneous tax bill has largely been a laundry list of technical corrections to Vermont’s tax code. Changes in sales and income tax rates haven’t been approved since 2006 and 2009, respectively, and upticks in the property tax rate have been made in the past two years… – Continue reading
Fifteen people suspected of running a smuggling scam that bilked the state out of tens of millions of shekels in taxes were indicted Tuesday for a series of conspiracy and fraud charges. Early this month, 200 investigators from the police and the Tax Authority raided Ashdod Port and homes belonging… – Continue reading
President Barack Obama’s proposal to impose a minimum tax on the foreign income of US companies would place them at a substantial competitive disadvantage in global markets, Pamela Olson, former assistant secretary for tax policy at the US Department of Treasury, has said. As well as including proposals for a… – Continue reading
MUMBAI: Providing relief to scores of multinational companies locked in transfer pricing disputes with income tax authorities, a tribunal has clarified that a company can claim deduction of expenses paid to a subsidiary if it follows a global cost allocation policy. The Delhi bench of the Income Tax Appellate Tribunal,… – Continue reading
WASHINGTON – The Senate voted Tuesday to reject a proposal by Sen. Bernie Sanders, I-Vt., that would have created millions of infrastructure jobs and closed an “absurd” tax loophole to pay for the plan. Fifty-two lawmakers opposed the proposal during votes on amendments to a GOP fiscal 2016 budget proposal…. – Continue reading
Two important developments last week in the transfer pricing domain have the potential of completely transforming the way this critical and controversial tax area has been handled by the income-tax department. One is the Delhi High Court judgment on tackling the AMP (advertisement, marketing and sales promotion) expenses involving a… – Continue reading
Internationally, Australia has been seeking to take a lead on addressing transfer pricing issues as chair of G20, with a focus on a global and coordinated approach to base erosion and profit shifting (BEPS). Domestically, the focus has been on reform of the transfer pricing regime in light of deficiencies… – Continue reading
Earlier today the UK government delivered its last budget before the UK general election in May. Many of the measures were, as one might expect so close to an election, focused on personal rather than corporate taxation. However, below is a summary of some of the business related announcements: Diverted… – Continue reading
DMS reminds stakeholders of all Cayman Islands investment funds deemed Foreign Financial Institutions (“FFIs”) of their International Tax Compliance (“ITC”) Obligations to the Cayman Islands Tax Information Authority (“TIA”) which may apply under the following: Launch of the Cayman AEOI Portal The Cayman Islands Department for International Tax Cooperation (“DITC”)… – Continue reading
According to news reports, Gibraltar’s government isn’t going to take being called a ‘tax haven’ lying down. The little British Overseas Territory at the tip of Spain is suing ABC—not the TV network, the Spanish newspaper—for defamation. Gibraltarians may live in what many call a tax haven, but their government… – Continue reading
The Organisation for Economic Co-operation and Development (OECD) has briefed leaders of the Group of Twenty (G-20) nations on recent advances towards the conclusion of its base erosion and profit shifting project, which it says may be completed ahead of schedule. The OECD presented a report to the G-20 Finance… – Continue reading
PM’s sudden decision to shelve the controversial land and buildings tax reflects a communications failure about its long-term benefits The sudden turnaround by Prime Minister Prayut Chan-o-cha on the imposition of the land and buildings tax brought relief to middle-income taxpayers but prompted confusion among economists, policymakers and even the… – Continue reading
BARBADOS IS IN A “good position” to thrive as an international financial centre (IFC) despite various challenges, including a worrying initiative introduced by the Organisation for Economic Cooperation and Development (OECD). Ben Arrindell, one of the island’s leading international business practitioners who has also advised Government on such issues or… – Continue reading
International bank HSBC has declined to comment on whether they are cracking down on Isle of Man accounts held by UK residents. It was widely reported this week that the bank is contacting holders of accounts in Jersey and asking them to produce identity documents at one of the Channel… – Continue reading
A leading Swiss banker told his Lebanese counterparts that the days of banking secrecy are over, urging the lenders to prepare their clients for this inevitable outcome. “The banks which attracted tax evaders can no longer continue in this pattern because the era of banking secrecy is over and an… – Continue reading
(CNS Business): On Friday 20 March at 4:15pm the Cayman Islands officially opened the doors to the Automatic Exchange of Information (AEOI) Portal to report tax information to other jurisdictions. The Financial Services Ministry has announced the AEOI Portal is now available for financial institutions to register and report customer… – Continue reading
One of Britain’s leading lawyers Lord Pannick, QC, will be heading a team of Gibraltar Government experts at the Royal Courts of Justice in London this morning as the local gaming industry takes on the British Government over tax issues, reports the Gibraltar Chronicle. Government is not participating directly in… – Continue reading
The Organization for Economic Cooperation and Development (OECD) is a Paris-based international bureaucracy with the self-proclaimed mission to “promote policies that will improve the economic and social well-being of people around the world.” But if there was a truth-in-advertizing requirement, the OECD would instead say that its mission is to… – Continue reading
The governor released her budget for the biennium fiscal years 2016 and 2017 a month ago. The budget called for revenue $338 million more than the House Ways and Means Committee (HW&MC) estimates. On an apples to apples basis, a $100 million of the total is simply the governor’s more… – Continue reading
MEPs vote this week on a financial grant to Ukraine, debate the results of last week’s European Council summit as well as discuss new legislation to tackle corporate tax avoidance. They will also take part in a meeting on the importance of inter-religious dialogue. On Monday, the economic affairs committee… – Continue reading
Finance Minister Dr Peter Phillips has hit back at suggestions from Opposition Leader Andrew Holness that an increase in tax compliance would mean harassment of businesses. Holness made the suggestion as he contributed to the Budget Debate last Thursday, but speaking at a meeting at The Gleaner’s North Street offices… – Continue reading
The Investment Association has hit out at Labour plans to widen the tax net for hedge funds, arguing this could harm the economy and increase the costs of UK funds. The Financial Times reports that Labours wants to remove “intermediaries relief” tax which allows investment funds to avoid paying stamp… – Continue reading
Last week, we discussed the revised set of standards for Transfer Pricing (TP) documentation and a template for country-by-country reporting (CBCR) of income, earnings, taxes paid and certain measures of economic activity as contained in Action Plan 13 of the Base Erosion and Profit Shifting (BEPS) Project. The CBCR provides… – Continue reading
Compliance with non-resident state taxes is difficult enough for athletes or other professionals who occasionally travel out of state to work. For telecommuters and other home-based workers that work for a company based in another state, the tax situation can get even more complicated. As a general rule, if you… – Continue reading
Gurgaon: Advocating easing of entry barriers for global corporations, Finance Minister Arun Jaitley on Saturday said that India needs to become globally competitive from infrastructure to taxation. In his convocation address at the Management Development Institute (MDI) here he underlined the need for relaxing norms for entry of multinational corporations… – Continue reading
Indian Revenue Secretary Shakti Kantadas says there will be no delay in rolling out the provisions of the act or operationalizing or putting into effect the provisions of the Black Money Act. Indian Revenue Secretary Shakti Kantadas says people should come clean on undeclared bank accounts and assets during the… – Continue reading
Mainland authorities are targeting tax evasion by multinationals, implementing new regulations aimed at “unreasonable” payments such as for service and royalties to overseas related parties. “The tax administration’s nationwide audit has discovered instances of multinationals in China making unreasonable payments to related parties overseas, causing the erosion of our tax… – Continue reading
It’s been dubbed the ‘Google tax’! Starting April 1st, the UK will levy a new ‘diverted profits tax’. This is the British government’s offensive against multinationals like Google, Amazon, Starbucks and others accused of shifting profits and avoiding tax. In doing so UK will become the first country to implement… – Continue reading
America’s tax code is riddled with problems. It imposes high rates on families, businesses, investors, and entrepreneurs. Its double taxation of capital gains and dividends creates a bias against savings and investment—activities essential for economic growth. Its convoluted system of deductions, credits, and exemptions distorts incentives and inefficiently allocates resources,… – Continue reading
The China State Administration of Taxation recently issued a notice extending the taxation of capital gains by non-Chinese tax residents arising from indirect transfers of Chinese assets. Where indirect transfers of equity in Chinese entities were already subject to capital gains tax based on Circular 698, Notice 7 now extends… – Continue reading
TAXES will be cut to protect vulnerable North-East airports if Scotland carries its pledge to cut charges, David Cameron pledges today (Friday, March 20). Speaking to The Northern Echo, the Prime Minister vowed that – if re-elected – he will not allow “unfair tax competition” that would hurt Newcastle and… – Continue reading
As discussed in prior posts, an asset sale transfers only the assets of the business, whereas a stock sale transfers some or all of the ownership interest in the business as well as its obligations and liabilities. In this continuing examination of how to structure a business sale, the next… – Continue reading
Living in Central Massachusetts, had I the vision of Sarah Palin, who can see Russia from her home in Alaska, I could look north and see New Hampshire on the right and Vermont on the left. It is perhaps an apt metaphor. New Hampshire with its “Live Free Or Die”… – Continue reading
Ranking Irish officials expressed concern the “double-Irish” corporate tax mechanism was undermining the State’s “international tax credibility” before the Government moved to scrap the loophole in this year’s budget. Newly released records of the influential Tax Strategy Group show officials also took note US president Barack Obama had criticised other… – Continue reading
Tax havens have historically offered respite for individuals and companies looking to avoid high levels of taxation in their home countries. Some countries have effectively set out to create an environment in which international financial transactions come under little scrutiny so that foreign individuals and companies can safely park their… – Continue reading
Hong Kong’s Government has published in its Official Gazette the Inland Revenue (Amendment) Bill 2015, which would extend the profits tax exemption for offshore funds to private equity funds. The Bill will be tabled in the Legislative Council on March 25. To reinforce Hong Kong’s aim of becoming a venture… – Continue reading
Croatia and the United States have signed an agreement on the application of the Foreign Account Tax Compliance Act (FATCA) concerning accounts in foreign financial institutions, in order to improve transparency between the two countries in the area of taxes, the Croatian Finance Ministry announced in a statement on Friday…. – Continue reading
