Michael Betley, group chairman of Trust Corporation International looks at how Guernsey has coped in an increasingly transparent and regulated world and how it can adapt to further change in the future. Is Guernsey positioned to navigate its way successfully through the maze of initiatives designed to penetrate the legal… – Continue reading
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
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
(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
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
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
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
HM Revenue & Customs contacted foreign governments on 490 separate occasions in one year as it sought information on suspected tax evasion, a drop of 150 information requests compared to the previous year. During the 2012-13 tax year, the Revenue made nearly 500 information requests to tax authorities to find… – 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
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
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
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
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
On March 18, 2015, the European Commission presented a package of transparency measures aimed at tackling corporate tax avoidance and harmful tax competition within the European Union, reports Tax News. The transparency package is said to be “the first step in the Commission’s ambitious agenda for 2015 to fight tax… – Continue reading
Rafal Mikulski of Dentons explains why Cayman Islands’ investment funds may be entitled to a tax exemption in Poland and to claim for overpaid tax from the Polish tax authorities The Agreement for the Exchange of Information Relating to Tax Matters signed on November 29, 2013, by and between the… – Continue reading
State prepared to engage constructively with European Commission, says Taoiseach, reports the Irish Times. Ireland remains opposed to the idea of a common consolidated corporate tax base (CCCTB), Taoiseach Enda Kenny said yesterday, though it is prepared to engage constructively with the European Commission on any new proposal unveiled. The… – Continue reading
Tough tax disclosure laws introduced by the former Labor Government represent “an invasion of privacy and intrusion for Australian private companies,” Prime Minister Tony Abbott has said. Abbott made the comment during a joint press conference with the Assistant Treasurer Josh Frydenberg. The press conference followed a meeting of the… – Continue reading
The Organisation for Economic Cooperation and Development (OECD) has welcomed Switzerland’s recent moves towards greater tax transparency, admitting the country to phase 2 of the peer review process. Jacques de Watteville, head of Switzerland’s State Secretariat for International Financial Matters, said: “We are delighted about this decision. It is the… – Continue reading
GENEVA: Facing a global crackdown including from India on their ‘safe haven’ tag, Swiss banks today asserted that “bank-client confidentiality” will not disappear and ‘automatic information exchange’ is not the only solution to the black money menace. The assertion comes at a time when Switzerland is in the process of… – Continue reading
Transfer pricing activities have faced increased scrutiny by tax authorities around the world and within the United States. As such, many companies are seeking more guidance on how to best manage their transfer pricing life cycle. The life cycle consists of four phases, which include planning, implementation, documentation and monitoring…. – Continue reading
The measure The Chancellor confirmed that the new diverted profits tax (DPT) will be introduced from 1 April 2015. DPT will apply in two distinct situations, being: Where a foreign company has artificially avoided having a taxable presence in the UK; and Where a UK company (or a UK permanent… – Continue reading
The Cook Islands has been rated “largely compliant” in a phase two peer group review conducted by the Organisation for Economic Co-operation and Development’s (OECD’s) Global Forum on Transparency and Exchange of Information for Tax Purposes. The key findings of the review were that the Cook Islands has adequate laws… – Continue reading
Continuing its drive towards fiscal and economic reform, Tunisia has signed two conventions with the Organisation for Economic Co-operation and Development (OECD). The conventions deal with reform of tax collection and payment systems and aim to support the young to become economically active, and tax-compliant, through training and new tax… – Continue reading
The OECD’s base erosion and profit-shifting project has dominated the international tax scene for over a year. Ever since the G-20 tasked the organization with finding solutions to the perceived problem of multinationals paying low effective tax rates, the international tax community has talked about little else. The OECD hoped… – Continue reading
(Bloomberg) — Luxembourg’s status as a fortress of wealth in the heart of Europe is in peril. The country transformed itself from a rural economy into the European Union’s richest in less than a century by swapping fields and steel mills for hedge funds and multinationals. That model may now… – Continue reading
The International Chamber of Commerce (ICC) has responded to announcements in the Budget speech by the UK Chancellor, George Osborne. On the new diverted profits tax, John Danilovich, ICC Secretary General, said: “We welcome the UK Government’s efforts to consult business on the introduction of a ‘diverted’ profits tax in… – Continue reading
(Bloomberg) — The European Union launched a new salvo in its battle against tax evasion with a slate of proposals that would make it harder for companies to avoid taxes. Countries would need to share information on cross-border tax rulings every three months under one piece of the tax package,… – Continue reading
islamabad Pakistan and Austria here on Tuesday signed additional protocol amending the agreement on avoidance of double taxation (ADTA). FBR Chairman Tariq Bajwa and Austrian Ambassador Ms Brigitta Blaha signed the document on behalf of their respective governments. Finance Minister Ishaq Dar witnessed the signing ceremony. Austria and Pakistan, it… – Continue reading
UK financial institutions (FIs) that have no US-reportable accounts will not be required to submit annual ‘nil returns’ in order to ensure compliance with new rules designed to prevent tax evasion by US citizens, HM Revenue and Customs (HMRC) has confirmed. The change comes after the US Internal Revenue Service… – Continue reading
GRAND CAYMAN, Cayman Islands, March 18, 2015 /PRNewswire/ — DMS Offshore Investment Services Ltd., (DMS) the world’s largest fund governance firm, is expanding its International Tax Compliance Group to better serve private investment funds in meeting their compliance obligations under various international tax initiatives worldwide. DMS announces the recent addition… – Continue reading
A top insurance industry boss believes that a tax on company profits is inevitable – and would be in the long-term interests of the Island’s people and its economy. John Charman, the chairman and chief executive officer of Bermuda-based Endurance Specialty Holdings Ltd, said the levying of corporate tax would… – Continue reading
On March 13, 2015, New Zealand’s Minister of Revenue, Todd McClay, announced the Government’s tax policy work program for 2015/16, which includes key international tax reforms aimed primarily at countering base erosion and profit shifting (BEPS). In particular, the Government intends to focus on the following areas of reforms: •… – Continue reading
As the OECD/EU project on Base Erosion and Profit Shifting (“BEPS”) moves towards its next set of reports in autumn 2015, Ireland Inc.’s low tax offering has been, and will be, further refined. While the 12.5% corporate tax rate remains beyond approach both domestically and internationally, the BEPS initiative has… – Continue reading
The Government of Russia has ratified the Organization for Economic Cooperation and Development’s Convention on Mutual Administrative Assistance in Tax Matters. The OECD said, with this development, Russia has joined the most comprehensive multilateral platform available for tax co-operation and exchange of information. The Convention, as amended by the 2010… – Continue reading
Transactional work varies from jurisdiction-to-jurisdiction with the ebb and flow of various economic cycles, but a prevailing theme across the EMEA region has been that more and more advisory firms are urging taxpayers to prepare for the impact of the OECD’s base erosion and profit shifting (BEPS) action plan. Joe… – Continue reading
Tax Regulation Number PER-01/PJ/2015, which is supposed to be effective starting this year, has triggered controversy within the banking industry. This is mainly due to the new obligation for banks to disclose details on every customer’s tax payments on deposits or savings interest. The Finance Minister needed to postpone indefinitely… – Continue reading
John Key has thrown his weight behind moves to catch more online purchases and even digital downloads in the GST net, and Labour says it would support changes to close the online revenue loophole. New Zealand is part of an OECD working group looking at the issue of consumption taxes… – Continue reading
Switzerland has made further progress on meeting international tax compliance standards after being upgraded to phase 2 of the Organisation for Economic Cooperation and Development’s (OECD) tax transparency review process. However, Switzerland faces a potentially tougher examination in the coming months, particularly regarding the use of stolen bank data by… – Continue reading
The ongoing global initiatives around exchange of tax information and publication of beneficial ownership information, while ostensibly in pursuit of transparency, have their origins in the need for the larger, richer countries to increase tax revenues, and the perception that taxpayers are hiding assets abroad and out of the tax… – Continue reading
Switzerland is moving towards “greater transparency” in providing administrative assistance on tax matters, a global body today said amid India making efforts to bring back illicit funds stashed by its citizens in Swiss banks. Long perceived as a safe haven for unaccounted wealth, Switzerland has been facing international pressure to… – Continue reading
Tocqueville Asset Management founder Francois Sicart warns that hiding from the taxman is futile, but postponing taxes is profitable You can’t escape taxes, but you can gain an advantage by legally delaying their payment. That is a model that legendary investor Warren Buffet exemplifies, and it is one of several… – Continue reading
Multinational tech giants Google and Facebook could soon be charged goods and services tax on advertising booked by Australian companies if a proposal flagged by federal Communications Minister Malcolm Turnbull is adopted. While multinational corporations continue to come under fire for minimising their tax bills in Australia, Turnbull has floated… – Continue reading
PwC expects that UK Chancellor George Osborne’s 2015 Budget will seek to strike a balance between ensuring fiscal responsibility and enticing support from prospective voters. On March 18, Osborne will deliver the Coalition Government’s final Budget ahead of the May 7 general election. PwC pointed out that, crucially, the resultant… – Continue reading
(Seychelles News Agency) – France’s ambassador to Seychelles, Genevieve Iancu, left the Seychelles archipelago, situated in the Indian Ocean on Friday after a little over two years spent in the post. Seychelles and France have good bilateral relations and strong historical ties due to the presence of the first French… – Continue reading
Rio Tinto has warned that multinational companies could be discriminated against if moves to combat tax “base erosion and profit shifting” went too far. With Australia and the other 33 member nations of the Organisation for Economic Co-operation and Development ramping up efforts to prevent multinational companies avoiding tax, Rio… – Continue reading
