India should cut its tax rate on corporate profits from a statutory rate of almost 33% to 20%, while simultaneously ending all exemptions in a phased manner. Indian corporate tax rates are relatively very high, with the Organisation for Economic Co-operation and Development (OECD) statutory average, including surtaxes and sub-federal… – Continue reading
>PRWEB.COM NewswireLONDON, UK (PRWEB UK) 7 August 2014 As reported on July 9th in an article by money.aol.co.uk, a new wave of celebrities have made HMRC’s tax-avoidance hit-list, joining past high-profile victims such as Jimmy Carr, who famously succumb to the taxman’s eagle-eyed scrutiny and merciless demand for recompense. Some 33,000 people… – Continue reading
MULTINATIONAL companies shifting their profits from Africa to low-tax jurisdictions are only partly responsible for the erosion of the continent’s tax revenue bases. The African Tax Administration Forum (Ataf) believes some countries have signed away their tax revenue because of weak domestic policies, and ill-conceived tax incentives and mining contracts…. – Continue reading
Tax dodgers are being warned that authorities will begin a crackdown later this month. An anti-tax avoidance campaign will be launched in August and announced in state-run newspapers in a bid to increase the Ministry of Finance’s revenue generation by 20 percent for the 2014-15 fiscal year, said Internal Revenue… – Continue reading
For weeks, concerns have been mounting across the UK about a tidal wave of shock tax demands about to hit tens of thousands of individuals and businesses – and with good reason. Now that the Finance Bill 2014 has received Royal Assent, HMRC has two new weapons it can use… – Continue reading
Measures to discourage Jersey companies engaging in “abusive tax schemes” for UK residents have been welcomed by industry body Jersey Finance. Geoff Cook, Jersey Finance CEO, said new rules were “pro-active and forward thinking”. He also said he supported tax competition and legitimate tax planning. In July the Times newspaper… – Continue reading
LONDON — When the British tax authorities struck a landmark deal with the Swiss to crack down on tax evasion, they sat back and waited for the cash to flow in. Almost three years later, they are still waiting. So far, only about $1.7 billion of the $8.4 billion windfall… – Continue reading
High quality global journalism requires investment. Please share this article with others using the link below, do not cut & paste the article. See our Ts&Cs and Copyright Policy for more detail. Emailftsales.support@ft.com to buy additional rights. http://www.ft.com/cms/s/0/b494286e-171e-11e4-b0d7-00144feabdc0.html#ixzz393LkTft5 Pfizer refuses to rule out tax inversion deals By Andrew Ward, Pharmaceuticals CorrespondentAuthor alerts… – Continue reading
“The investigation of the income tax returns for each successive year reveals the increasingly stubborn fight of wealthy individuals and corporations against the payment of their fair share of the expense of their Government.” Treasury Secretary Henry Morgenthau, 1937 “More and more enterprises organized abroad by American firms have arranged… – Continue reading
Bruton says it is up to US government to resolve tax obligation anomalies The Government has insisted it does not facilitate the so-called tax inversion practices criticised by president Barack Obama in comments that referenced Ireland. Minister for Jobs and Enterprise Richard Bruton responded to Mr Obama’s remarks by saying… – Continue reading
US bankers and lawyers are inciting a sense of urgency among corporate clients to get tax-reducing acquisitions of offshore companies signed before the end of this year, now that a slew of recent so-called tax-inversion trades has set off alarms in Congress. Heated debates about how to limit such acquisitions… – Continue reading
The U.S. Senate will proceed to debate a bill ending tax advantages for companies that move jobs abroad and giving a tax break for companies moving jobs back. U.S. Sen. Jeff Merkley says that’s progress, given that a similar move two years ago failed to reach the 60-vote threshold required…. – Continue reading
Taxes charged by governments are a lot like consumer prices charged by retailers. The more you raise the price, the less money you actually bring in as shoppers learn to find better deals elsewhere. This is precisely what many American corporations are doing, shopping around for better tax rates in… – Continue reading
Watching big pharmaceutical companies and other major U.S. corporations line up to make foreign acquisitions that will bring them a low-tax haven as headquarters, a middle market CEO/owner/entrepreneur could easily become jealous. Are you feeling stuck with an effective tax rate of 25%, 30% or even 35%? For the likes… – Continue reading
New Delhi: The government on Tuesday said it is effectively using the information received from various countries to combat the menace of tax evasion and avoidance. “Effectively utilising the information received from treaty partners to combat tax evasion and avoidance,” Minister of State for Finance Nirmala Sitharaman said in a… – Continue reading
More than half a billion pounds is set to be wasted this year in inheritance tax as individuals fail to place their life protection policies “under trust”. The figure, which is up £58m on last year, was revealed in research by unbiased.co.uk, which also found that only a quarter of consumers… – Continue reading
The corporate inversion trend tells us that global tax competition is intense and that U.S. tax reform is long overdue. Our combined federal-state corporate tax rate of 40 percent is far higher than the rates of our trading partners. Inversions are a bid by companies to create self-help tax reform… – Continue reading
More than half a billion pounds is set to be wasted this year in inheritance tax as individuals fail to place their life protection policies “under trust”. The figure, which is up £58m on last year, was revealed in research by unbiased.co.uk, which also found that only a quarter of consumers… – Continue reading
Government plans to establish a tax haven that will encourage wealthy corporations to move their operations to Macedonia have won a mixed response.Financial experts have broadly welcomed plans by Prime Minister Nikola Gruevski to set up tax havens on the ground that they will boost employment in the financial and… – Continue reading
ISLAMABAD: The FBR is seeking extraordinary powers to access private bank accounts of citizens, apparently to catch tax dodgers, locate assets beyond means, sources of funds, detect foreign travels and raise revenue for the government. For the purpose, the FBR has recommended that its intelligence wing be allowed to perform… – Continue reading
Technically, merging and reincorporating abroad to avoid taxes is called an inversion. Bluntly, it’s called a disgrace. U.S. companies should push for tax reform rather than departing on paper and handing their tax burden to American taxpayers. The latest to seek refuge from Uncle Sam is Salix Pharmaceuticals of Raleigh,… – Continue reading
(CNN) — Some of the world’s most well-known companies like Apple, Google, Facebook, Boots and Starbucks have become successful partly by convincing us through their products that their corporate values align with consumers’ personal values. But what happens when these companies behave in ways that seem to betray our trust?… – Continue reading
FTSE 100 companies have had to increase the amount of money they set aside to cover the cost of tax disputes and litigation by an additional £139m taking provisions for tax disputes to £2.39bn in the last year – up from £2.25bn in the previous year, reveals Thomson Reuters legal… – Continue reading
WASHINGTON — From abortion to electronic privacy to background checks for gun purchases, a strange thing has been happening on the floor of the House as it debates its spending bills for the coming fiscal year: the stirrings of liberalism. The House on Thursday voted 221 to 200 to approve… – Continue reading
U.S. Treasury Secretary Jack Lew is urging Congress to act to prevent U.S. companies shifting their headquarters abroad to benefit from a lower tax rate. “Congress should enact legislation immediately — and make it retroactive to May 2014 — to shut down this abuse of our tax system,” Lew wrote… – Continue reading
The latest proposed tax inversion deal just got even bigger. U.S. bidder AbbVie hiked its offer for Dublin-based Shire PLC Sunday after four days of talks in a deal that could now reach $31.35 billion, underscoring what it sees as the benefits of a tie-up that will also give it… – Continue reading
Ingersoll-Rand (IR) is a great American success story. Founded 143 years ago by a Connecticut farmer who invented a steam-powered rock drill, the company made tools that carved out the Panama Canal and shaped Mt. Rushmore. More recently it’s become a leader in energy-efficient air conditioners: Ingersoll-Rand’s Trane unit has… – Continue reading
Another day. Another inversion. This one, though, with a twist. On Tuesday evening, U.S.-based Salix Pharmaceuticals Ltd.SLXP -1.52% announced plans to merge with a unit of Cosmo Technologies Ltd.’s and take up residence in Ireland for tax purposes. What makes this different from a typical inversion deal is the fact… – Continue reading
Popular restaurant chain’s Channel Islands tax haven trust at top of elaborate web of companies is worth £750m A secretive £750m trust located in a Channel Islands tax haven sits at the top of an elaborate offshore web of companies belonging to the family behind the Nando’s chicken chain. The… – Continue reading
Umuahia — Governor Thoedore Orji of Abia State has disclosed that the new tax regime being put in place by the State government is targeted at removing all forms of fraudulent practices that had bedeviled tax payment and collection in the past.. The Governor who stated this at the maiden… – Continue reading
An international law firm has accused HM Revenue & Customs of a “sudden and unprecedented escalation” after it revealed full details about the powers which will allow it to impose £1m fines on tax advisers. Ray McCann, partner at Pinsent Masons, said the powers, which are aimed at cracking down… – Continue reading
Advisers with expatriate clients, or whose clients’ investments span multiple jurisdictions, may find a more level playing field as global regulators work together more, Angelo Venardos has said. The editor of tax book World’s Leading Financial and Trust Centres said that many offshore financial centres, such as the British Virgin… – Continue reading
On 1 July 2014, the Ministry of Revenues and Levies of Ukraine issued Order #368 ‘On amendment of generalised tax consultation on transfer pricing related issues, adopted by Order #699’, which significantly changed the respective tax consultation #699. In particular, the order included additional questions and clarifications and drastically changed… – Continue reading
DETROIT — Delphi Automotive plc is in the crosshairs of a battle between the IRS and many large American companies over the use of offshore tax shelters. Delphi is the latest corporation in dispute with the federal government over its tax practices. The IRS notified the supplier last month it… – Continue reading
“A government that robs Peter to pay Paul, can always count on the support of Paul”– George Bernard Shaw. Well, the UPA government certainly did a Peter to multinational companies operating in India by hiking withholding taxes from 10% to a good 25% in the 2013 budget. Who is the… – Continue reading
NEW DELHI: In order to encourage foreign investment, the finance ministry is likely to introduce safe harbour rules for transfer pricing of capital transactions which will bring about certainty in taxation of such deals. The finance ministry, according to sources, may introduce the changes in the Budget to be presented… – Continue reading
The Ministry is considering 20% mark up under the safe harbour rule, which would mean that transactions following the norms would not be scrutinised by the tax authorities Press Trust of India | New Delhi July 6, 2014 Last Updated at 11:25 IST In order to encourage foreign investment, the… – Continue reading
This is a rather sad commentary on the state of democracy today. For we’ve a senior UK politician, Margaret, Lady Hodge, appearing to demand that Apple AAPL +0.66% acts against international tax law when considering its price and tax policies. At the heart of this is the system known as… – Continue reading
Walgreen Co. is at a crossroads, but it may not be “at the corner of happy and healthy” as its advertising slogan suggests. The nation’s largest drugstore chain is considering a move that would allow it to significantly cut its tax bill and increase profits. But it’s being painted by… – Continue reading
Treasurer Joe Hockey has said that he will improve the structural integrity of Australia’s tax system to address international tax avoidance by multinational enterprises. In particular, the tax law will be tightened to prevent a multinational from shifting profits from Australia by claiming excess interest expense deductions. This tax avoidance technique is… – Continue reading
Amazon’s Luxembourg-located tax affairs are under the scrutiny of the EU’s Competition Commission as regulators and lawmakers in the bloc widen an investigation into tax avoidance strategies carried on at the European headquarters of big companies. Amazon looks likely to join Apple, Starbucks and Fiat Finance and Trade, all of… – Continue reading
Finland’s Tax Administration has lost a landmark court case on transfer pricing. The Supreme Administrative Court’s ruling means the taxman could now lose out on hundreds of millions of euros in tax. The Finnish Tax Administration could lose out on millions of euros in tax from multinationals after a decision… – Continue reading
Lawyers from the United States have been advising the Island’s financial services sector how to prepare for in-depth tax investigations. They spoke at a global tax enforcement conference organised by Douglas legal firm Dougherty Quinn at the Villa Marina (3 July). Its aim is to prepare service providers, banks and… – Continue reading
Treasurer Joe Hockey will introduce legislation this month to tighten corporate taxation loopholes but says there must be a global solution to tax evasion. The government is going ahead with rule changes to lower the amount of debt a multinational firm based in Australia can have on its books. This… – Continue reading
Andrea Bonzano, head of tax at Fiat, discusses the pros and cons of different transfer pricing methods in an interview with TPWeek, and provides his views on BEPS and US inversions. Bonzano has expressed his views on some of the most topical transfer pricing issues, discussing his concerns over BEPS… – Continue reading
As the new government gets to work, one key item on the agenda would be the revival of growth. The key to that objective is the revival of the investment climate in India for renewed flow of overseas investments. One aspect that has vitiated the investment climate is the tax… – Continue reading
NEW DELHI: The Comptroller and Auditor General (CAG) is preparing to examine transfer pricing cases, which have significant revenue implication for the exchequer and lead to longdrawn litigation between companies and tax authorities. The CAG has so far not been auditing transfer pricing cases, mainly because of the shortage of… – Continue reading
Australia’s largest coalminer, Glencore, paid almost zero tax over the past three years, despite income of $15 billion, as it radically reduced its tax exposure by taking large, unnecessarily expensive loans from its associates overseas. At up to 9 per cent, the interest rates on these $3.4 billion in loans… – Continue reading
Increasing sophistication in combatting base erosion and profit shifting, and the corresponding increase in transfer pricing documentation, have posed a challenge for businesses. The following article considers the tension between the competing demands. Companies are facing a proliferation of transfer pricing documentation demands. While the new requirements set out in… – Continue reading
The Indian economy today is in urgent need of measures to restore growth. A stable, clear and transparent tax regime would go a long way in improving sentiments and investor confidence. Building such a tax regime would require an integrated effort including legislative changes to bring in clarity, operational changes… – Continue reading
