NICOSIA and New Delhi are inching closer to putting their double taxation avoidance agreement (DTAA) back on track, financial sources said yesterday. The sources, familiar with the subject but speaking on condition of anonymity, played down reports from India that Cyprus was unlikely to get off the ‘blacklist’ any time… – Continue reading
United States citizens who have accounts or financial assets in Israel soon will have even more incentive than previously to disclose them to the Internal Revenue Service (IRS). The Foreign Account Tax Compliance Act (FATCA), which takes effect July 1 in Israel, is meant to combat tax evasion and fraud… – Continue reading
Muscat: Oman and Bulgaria expect to sign a double taxation avoidance treaty in September this year, as both countries are in negotiations to finalise the treaty, said Antoaneta Petrova of Bulexpo AA & Co. She noted that once the agreement is in place, Bulgarian companies operating in Oman will need… – Continue reading
In brief On 28 March 2014, China and Germany entered into a new double taxation agreement (DTA) and protocol (together referred to as ‘the new DTA’). The new DTA results in an extensive revision of the currently applicable treaty signed in 1985 (1985 DTA). The key changes include extending the… – Continue reading
NEW DELHI: Mauritius has said that it will address India’s concerns over the abuse of the lucrative tax treaty between the two countries, promising measures to ensure that benefits are available only to genuine investors. The island nation has proposed a stringent limitation of benefit clause in the Double Taxation… – Continue reading
Navin Ramgoolam discussed issue of long-pending treaty re-negotiation with his Indian counterpart Narendra Modi in their bilateral meeting today Mauritus on Tuesday said it was determined to allay India’s fears on round tripping of funds, by incorporating adequate safeguards in the India-Mauritius tax treaty. The island nation said it had… – Continue reading
Mauritius on 27 May 2014 decided to provide automatic tax information exchange to India. The decision was announced by the Prime Minister of Mauritius Navin Ramgoolam after his meeting with Prime Minister of India Narendra Modi. Navin Ramgoolam was in India to attend the swearing-in ceremony of Narendra Modi as… – Continue reading
Supreme Court reiterates the principle that income of a discretionary trust cannot be taxed in the hands of a beneficiary unless distributed to the beneficiary. Where trustees have clearly retained the income of the trust and brought it forward year to year without disbursing it to the beneficiaries, the trust… – Continue reading
While financial companies in city gear up for compliance with Fatca, those with mainland affiliates are unlikely to meet requirements Hong Kong financial institutions with mainland affiliates are hoping Beijing signs an agreement with Washington soon on a new US tax disclosure law, because of concerns mainland financial institutions will… – Continue reading
India amended its domestic tax law for transactions with taxpayers of certain tax jurisdictions, as an anti-avoidance measure. The amendments involving transactions made in Cyprus include a temporary 30% withholding tax for all transactions between India and Cyprus in place since March. Under the double tax treaty between India and… – Continue reading
TEHRAN (FNA)- A senior trade official termed the recent memorandum of understanding (MoU) signed by Turkey and Iran on avoiding double-taxation as an important development with major positive impacts on the two countries’ trade relations. “The MoU signed between Iran and Turkey has been a wide stride in the (two… – Continue reading
New Delhi: Keen to further boost bilateral ties with India under the incoming government led by Narendra Modi, Cyprus is looking to bolster tourism activities as well as make the island nation a shooting destination for Indian film makers. Cyprus, the seventh largest source of FDI (foreign direct investment) into… – Continue reading
During the last financial year, India attracted $5.98 billion in FDI from Singapore, whereas it was $4.85 billion from Mauritius Press Trust of India | New Delhi May 26, 2014 Last Updated at 00:45 IST Singapore has replaced Mauritius as the top source of foreign direct investment o India, accounting… – Continue reading
Banks prepare to open their books to the long arms of Uncle Sam The countdown is on, with just a month to go before the United States’ Foreign Account Tax Compliance Act (FATCA) goes live on July 1. Aimed at curbing tax evasion by American citizens, an estimated 26,000 foreign… – Continue reading
India’s tax dispute with Vodafone Plc regarding its purchase of Hutch Essar seven years ago is likely to reach the International Court of Justice (ICJ) in the Hague, Netherlands a few weeks from now, sources privy to the matter said, adding this would be an unprecedented development in the history… – Continue reading
Chinatrust Commercial Bank employees gather on the steps of their Xinyi headquarters to say goodbye to the building, as they are being relocated to Nangang, May 15. (File photo/Deng Bo-jen) Taiwan’s Financial Supervisory Commission said on May 25 that the total revenue for Taiwanese banks’ offshore banking units has exceeded… – Continue reading
Automobile equipment maker Denso Corp. filed a suit Monday seeking nullification of tax authorities’ 2012 order for the payment of around 6.1 billion yen in back taxes on the income of its Singapore unit in a tax haven countermeasure. Denso brought the case to the Nagoya District Court after paying… – Continue reading
Mauritius to provide automatic tax info exchange for India Ramgoolam, who was here to attend BJP leader Narendra Modi’s swearing-in as Prime Minister yesterday, also said that Mauritius would not allow anybody to abuse or misuse its jurisdiction for any illicit activities. Seeking to allay apprehensions about Mauritius being used… – Continue reading
Cases like alleged involvement of 500 Indians in parking money in HSBC‘s Geneva Branch, 26 Indian account holders of LGT Bank may all be probed by SITThe special investigation team (SIT), announced on Tuesday by the Cabinet, will probe all cases of black money – be it related to the money allegedly stashed away by Indians abroad… – Continue reading
India has asked Switzerland to speed up the ratification of the Organization for Economic Cooperation and Development (OECD) convention on automatic exchange of tax information. ”I would urge you and your (Swiss) government to ratify the multilateral convention on mutual administrative assistance in tax matters as early as possible,” outgoing… – Continue reading
AsiaOne Business News released an article on the expectation of Singapore to dislodge Switzerland as the world’s wealth management capital (Business AsiaOne, 5/12/14) last week. AsiaBiz Services, Singapore’s leading company formation consultancy, affirmed that the main reasons for the country’s acquisition of its enormous share of global offshore wealth are attributed to… – Continue reading
In recent years, the US Congress and the US Department of Treasury have come to believe that many US taxpayers (including US citizens and green card holders in India) have not been complying with the tax law that requires reporting of worldwide income, including income held in non-US financial institutions…. – Continue reading
The Special Investigation Team (SIT) constituted by the government to “bring back black money” is likely to help India plug its wealth draining to offshore tax havens with Swiss global tax activists saying that the government can put pressure on Switzerland by blacklisting it as a non-cooperative jurisdiction and complaining… – Continue reading
Internal Revenue Commissioner Kim Henares has again defied a Supreme Court ruling on the self-executory nature of tax treaties by issuing a circular prescribing additional requirements before privileges granted under a tax treaty may be enjoyed. Henares issued Revenue Memorandum Circular No. 37-2014, announcing the coming into force of the… – Continue reading
On April 9, 2014, the Finance Ministry issued guidelines on the application of agreements on the avoidance of double taxation (DTAs), which requires tax agents and tax authorities to conduct an assessment of whether foreign recipients of income in Russia have the right to apply a tax exemption in Russia… – Continue reading
The Supreme Court of India in a recent ruling (Commissioner of Wealth Tax, Rajkot v. Estate of Late HMM Vikramsinhji of Gondal (Civil Appeal No. 2312 of 2007) has held that the Indian resident beneficiaries of an offshore discretionary trust shall not be subject to tax on the trust’s income… – Continue reading
Efforts to sign new DTAs and update existing DTAs in the first five months of the year will promote tax transparency and facilitate investments, sustaining Singapore’s position as a preferred destination for doing business, says SingaporeCompanyIncorporation.sgSingapore, in a bid to further strengthen its Avoidance of Double Taxation Agreements (DTA) network, has seen new… – Continue reading
MUMBAI: Swiss bank account holders who have been quietly celebrating the exit of P Chidambaram now have another reason to rejoice. Almost three-fourths of the 600 or so named in the list of clients of HSBC Geneva are beneficiaries of ” discretionary trusts”. These individuals are confident that a Supreme… – Continue reading
On October 13, 2009, the government of Georgia and the government of the State of Kuwait have signed an Agreement for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with respect to Taxes on Income and on Capital. The treaty entered into force on April 14, 2013,… – Continue reading
On May 6, 2014, the Ministry of Finance of Singapore announced that Singapore had agreed in substance on a Model 1 FATCA IGA. Under the IGA, Singapore-based financial institutions will report information on financial accounts held by U.S. persons to the Inland Revenue Authority of Singapore (IRAS), which will in… – Continue reading
GlaxoSmithKline Plc (GSK)’s China unit was accused by a government-run legal newspaper of failing to pay more than 100 million yuan ($16 million) in import duties and taxes for its HIV treatment. The company evaded the taxes from 2005 to 2008, China’s Legal Daily newspaper reported May 16 on its… – Continue reading
On May 9, 2014, the U.S. Treasury announced that Hong Kong had agreed in substance on a Model 2 FATCA IGA. Under the IGA, Hong Kong financial institutions will report information on financial accounts held by U.S. persons directly to the Internal Revenue Service. Hong Kong is only the seventh country… – Continue reading
TAIPEI: Taiwan’s President Ma Ying-jeou on Wednesday categorically denied a report that he holds a US green card and owes the US government Tw$500,000 ($16,556) in taxes, saying he would resign if the claim turned out to be true.The report, appearing in the latest issue of Taiwan’s Next Magazine, alleged… – Continue reading
The Financial Services Authority (OJK) has proposed that the government demand reciprocal cooperation with the US regarding the latter’s request to apply its Foreign Account Tax Compliance Act (FATCA) in the country. FATCA is a law that the US has unilaterally imposed on the rest of the world to prevent… – Continue reading
CARACAS, May 17, 2014 – (WAFA) – President Mamhoud Abbas signed Saturday energy and double taxation avoidance agreements with his Venezuelan counterpart Nicolas Maduro at Miraflores presidential palace in Caracas. Abbas started Friday a three-day official visit to the Caracas, where he was received by Maduro. They exchanged views on the peace process as well… – Continue reading
NEW DELHI, MAY 14: With tax authorities pressing with over Rs 21,000 crore in unpaid dues, Finnish telecom major Nokia has invoked the Bilateral Investment Promotion and Protection Agreement (BIPA) India has with Finland to resolve the dispute. Nokia late last month wrote to Prime Minister invoking dispute settlement clause… – Continue reading
KARACHI: Pakistan’s large banks have completed the registration process with the Internal Revenue Service (IRS) – the US government agency responsible for tax collection and law enforcement – to report the data (dollar-denominated transactions) of US persons to it, banking sources said on Wednesday. They have got the registration as… – Continue reading
Next Magazine yesterday released a report claiming that the president has to pay taxes to the U.S. under the Foreign Account Tax Compliance Act (FATCA), saying that Ma is poised to turn himself into an “international laughingstock” by becoming the first R.O.C. president subject to U.S. taxes. That the president… – Continue reading
Hong Kong and the United States have concluded their discussions on the implementation of the Foreign Account Tax Compliance Act, with Hong Kong expected to sign a model 2 intergovernmental agreement later this year. Under the model 2 agreement, financial institutions in Hong Kong will need to register and conclude… – Continue reading
Azerbaijan and Saudi Arabia plan to sign an agreement on the avoidance of double taxation, as well as tax evasion, the ambassador of Saudi Arabia Musaid bin Ibrahim bin Abdullah Al-Salim told a press conference. The ambassador said the agreement is expected to be signed during the Azerbaijani foreign minister… – Continue reading
Hong Kong and the United States have substantially concluded discussions on an inter-governmental agreement (IGA) to simplify Hong Kong financial institutions’ compliance with the Foreign Account Tax Compliance Act. The Financial Services and the Treasury Bureau (FSTB) said that the IGA “will reduce Hong Kong financial institutions’ reporting burden and… – Continue reading
Taiwan’s Financial Supervisory Commission (FSC) has confirmed that it expects to conclude an intergovernmental agreement (IGA) with the United States regarding the Foreign Account Tax Compliance Act (FATCA) by the end of June this year. FATCA, enacted by the US Congress in 2010 and due to take effect on July… – Continue reading
Finmin says it decided to propose withdrawal of conciliation offer after Vodafone said it could be resolved only through international arbitration The finance ministry on Monday said it had decided to propose withdrawal of its conciliation offer to Vodafone after the British telecom company said the transfer-pricing issue could be… – Continue reading
On December 17, 2013, the Protocol Amending the Convention between Japan and the United Kingdom of Great Britain and Northern Ireland for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with respect to Taxes on Income and on Capital Gains (the “Protocol”) was executed in London. The… – Continue reading
Oil major Cairn India and its former British parent Cairn Energy Plc have moved the Delhi High Court challenging the validity of New Delhi’s controversial 2012 retrospective amendment to law that imposed tax liabilities on several high-profile offshore transactions of Indian assets including Cairn’s. The court will take up the… – Continue reading
NEW DELHI: Foreign Direct Investment inflows from Mauritius have almost halved during April-February period of last fiscal to $4.48 billion, according to the data of the Department of Industrial Policy and Promotion (DIPP). India had received $8.97 billion during April-February 2012-13. According to an expert, investors are apprehensive that they… – Continue reading
May 7th, 2014 (InsideCostaRica.com) Tax evaders and privacy advocates beware – Costa Rica and 46 other countries signed up yesterday to automatically share banking, financial, and tax information in what the OECD is touting as a major step towards cracking down on global tax evasion. The Declaration on Automatic Exchange… – Continue reading
Switzerland is no longer considered as a “tax haven”. Being the world’s largest offshore financial center, Switzerland has agreed automatically to share foreigners’ account information with other countries. Analysts say that this is good news for the other countries, however, for the Chinese Communist Party’s (CCP) corrupt officials, it seems… – Continue reading
Calls for crackdown as investigation finds huge Indonesian corporations evading tax through network of secret shell companies in British Virgin Islands and other tax havens Giant Asian logging companies that make billions from destroying rainforests use a labyrinth of secret shell companies based in a UK overseas territory, the British Virgin… – Continue reading
