Public Accounts Committee is questioning the Revenue Commissioners All files drawn up by a whistleblower into alleged tax evasion by former senior politicians were fully examined and followed up, the chairman of the Revenue Commissioners has said. Addressing the Dáil Public Accounts Committee, Josephine Feehily said all material on the… – Continue reading
To minimise confusion and litigation, the government will bring fresh guidelines to clearly explain the meaning of terms “arm’s length basis” and “ordinary course of business”, used in the Companies Act, 2013. “After understanding the significance of these two terms for our industry, we have decided to bring fresh guidelines,”… – Continue reading
The Finance Minister added that free trade should also mean fair trade Calling upon revenue intelligence agencies to enhance cooperation with their global counterparts to check tax evasion and smuggling, Finance Minister Arun Jaitley today said free trade should also mean fair trade. Although the fiscal incentives for financial malpractices… – Continue reading
The Swiss voted down the initiative “Save Our Swiss Gold” on Sunday, November 30, by a margin of three to one, rejecting efforts to shore up the Swiss National Bank’s (SNB) balance sheet. Switzerland, a direct democracy, entertains an average of five such referendums every year, and most of them… – Continue reading
DELHI – Mauritius has overtaken Singapore as the largest source of foreign direct investment (FDI) in India, it was announced earlier this week. During the April-September period, Mauritius emerged as the strongest contributor of investment with an inflow of $4.19 billion. During the same period, Singapore provided $2.41 billion in… – Continue reading
Enda Kenny responds to Mary Lou McDonald’s listing of allegations against ex-ministers The Garda fraud unit is investigating allegations that former government ministers had offshore accounts, Taoiseach Enda Kenny told the Dáil. “They will make their decisions and follow through on that,’’ he said. The Taoiseach was responding to Sinn… – Continue reading
Dechert Georgia, through the contribution of partners Archil Giorgadze and Nicola Mariani joined by senior associates, Ruslan Akhalaia and Irakli Sokolovski, is partnering with Georgia Today on a regular section of the paper which will provide updated information regarding significant legal changes and developments in Georgia. In particular, we will… – Continue reading
Swiss Ambassador to India Linus von Castelmur on Wednesday said it would not be possible for his government to work with stolen data and entertain “fishing expeditions” while dealing with the issue of tracing Indian black money holders. “We signed a double tax avoidance treaty with India in 2011 that… – Continue reading
The European Commission (Commission) has given one of its clearest indications yet that it is seeking to clamp down on unfair tax breaks or ‘waivers’ for underpaying companies through the EU rules on state aid. How does State aid apply to taxation? The EU rules on state aid prohibit the… – Continue reading
The United States won’t give up its right to tax multinationals, and nations will go to war soon with countries like China on taxing rights, a US tax head says. Grant Thornton’s national managing partner of tax in the United States, Randy Robason, is in Australia this week for a… – Continue reading
Late yesterday afternoon the Government published its response to the consultation on extending Capital Gains Tax (CGT) to non-UK resident owners of UK residential property. This is the latest step in a series of significant changes in the last couple of years to the tax treatment of UK residential property…. – Continue reading
With the expansion of business globally and mobilisation of investments, businesses are facing challenges on managing their cash flows, funds, and financial risks to increase competitiveness. Having a “treasury centre” is one of the solutions. A treasury centre helps a business significantly reduce its transaction costs and increase financial efficiency…. – Continue reading
The Chancellor reaffirmed the Government’s continued support for the OECD’s work on base erosion and profit shifting (BEPS) and modernisation of the international framework for taxing multinational companies. Measures in relation to three specific areas are announced – a consultation on hybrid mismatches and the introduction of the OECD’s proposals… – Continue reading
Business people often believe that the only consequence of a tax offence will be the claim for the outstanding (non-paid) taxes and administrative penalties. The issue of potential criminal liability of the chief executive officer is usually disregarded. This may be a serious mistake of the affected company and its… – Continue reading
Chancellor George Osborne has announced a new 25 per cent tax on profits generated by multinationals in the UK that have been “artificially diverted” offshore. Delivering his Autumn Statement today, Osborne said he wanted to see big global businesses “pay their fair share.” He has announced that there will be… – Continue reading
Names of former politicians investigated for alleged tax evasion read into Dáil record Five former politicians named in the Dáil by Sinn Féin TD Mary Lou McDonald as having been in a dossier of alleged offshore account holders have rejected the claims. Former European commissioner Máire Geoghegan-Quinn, former Progressive Democrat… – Continue reading
Legislation seeking to stop U.S. corporations from moving their legal address abroad to avoid paying U.S. tax rates would raise significantly more revenue than originally thought, according to the official congressional scorekeeper. The Joint Committee on Taxation now says that Democratic legislation to curb inversions would raise $33.6 billion over… – Continue reading
UK government plans to counter aggressive tax planning techniques used by multinational enterprises to divert profits from the UK to low tax jurisdictions could harm the international prospects of UK businesses according to an expert.03 Dec 2014 Corporate tax Tax Advanced Manufacturing & Technology Services UK Europe The new ‘diverted… – Continue reading
Finance Minister Michael Noonan has said that Ireland’s tax regime is fully transparent and that the Government supports international tax reform efforts. Noonan told an Institute of International and European Affairs conference that the world of international taxation is changing rapidly. He pointed out that, “in an increasingly globalized world,… – Continue reading
Donald Grove, Contributing Editor, The Casey Report Implementation of the infamous Foreign Account Tax Compliance Act (FATCA) got underway in earnest on July 1, 2014. A cacophony of protests and warnings could be heard as that date approached, and it has only grown louder as more and more people realize… – 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. The UK announced plans to raise over £1bn over the next five years from a new “diverted profits”… – Continue reading
The controversial ‘double Irish’ tax mechanism was never part of the Irish tax code and was not a viable way of building a sustainable economy, says Minister for Finance Michael Noonan. Speaking at a major tax conference organised by the Institute of International and European Affairs, Mr Noonan, said the… – Continue reading
Panel suggests reintroduction of Fringe Benefits Tax and Banking Cash Transaction Tax The Tax Administration and Reform Commission (TARC) has suggested reintroducing the Fringe Benefits Tax (FBT) and Banking Cash Transaction Tax (BCTT) to widen the tax base, minimising various tax exemptions, and staying away from amnesty schemes as these… – Continue reading
The Brazilian Federal Government decided to reduce from 20% to 17% the percentage of the maximum income tax rate required from the low-tax countries classified as “favored taxation country or dependency” (país ou dependência com tributação favorecida) or “privileged fiscal regime” (regime fiscal privilegiado). This measure was adopted by means… – Continue reading
December 3: The UK government today issued items that focus on multinational corporations and follow the OECD’s base erosion and profit shifting (BEPS) action plan—one issuance being a consultation document concerning hybrid mismatch arrangements, and the other being the Autumn Statement 2014 that includes provisions relating to country-by-country reporting, the… – Continue reading
December 3: Budget bill 2015—which would provide a tax credit for research and development (R&D) and would introduce a patent box regime—was passed by the Italian lower house on 30 November 2014. The budget bill is pending consideration by the Italian Senate. Changes to the legislation are possible during this… – Continue reading
Global banks may feel that purging their correspondent banking relationships will help them de-risk, but they should beware the unintended consequences. The Central Bank of Seychelles’ rescue of BMI Offshore Bank in November is one of the clearest examples of the impact global banks are having on smaller financial institutions… – Continue reading
The mayor of London’s refusal to comply with the Foreign Account Tax Compliance Act (FATCA) by paying his American taxes has been labelled “noble” by Nigel Green, chief executive at deVere. Green said Boris Johnson’s claim that it is “outrageous” for the US to tax expat American citizens, made in… – Continue reading
It was billed as a multi-billion pound windfall for the long-suffering UK taxpayer, with HM Revenue & Customs getting its hands on a huge reservoir of untaxed “black money” stashed in Switzerland by wealthy subjects to keep it safe from the taxman. But the estimated take from what the former… – Continue reading
Ann Lenihan says she ‘has no knowledge of account’ and questions PAC’s actions The widow of former tánaiste Brian Lenihan snr wrote to Minister for Enterprise Richard Bruton on Monday demanding access to the dossier and any documents held by his department that allege there is evidence her husband held… – Continue reading
The Netherlands has ended its resistance to EU measures aimed at tightening up the way companies use European parents and subsidiaries to reduce taxes, the NRC reports on Wednesday. Junior finance minister Eric Wiebes has written to parliament, urging MPs to support the Dutch position to amend the current regulations… – Continue reading
The Position to Date In July 2014, the Cayman Islands government issued The Tax Information Authority (International Tax Compliance) (United States of America) Regulations, 2014 (the “US FATCA Regulations”), The Tax Information Authority (International Tax Compliance) (United Kingdom) Regulations, 2014 (the “UK FATCA Regulations”) and the Guidance Notes on the… – Continue reading
Entrepreneurs’ relief – for many years sole traders and partnerships have been able to incorporate their businesses selling the value of the business including goodwill to the new corporate. The gain is taxed at 10 per cent, the proceeds remain on loan to the company as a directors’ loan and… – Continue reading
The Government has announced a further crackdown on tax avoidance schemes which fall under its Disclosure of Tax Avoidance Schemes regime. In the Autumn Statement today, the Government said it will increase penalties for non-declaration of Dotas schemes and publish more information on schemes and their promoters. It says this… – Continue reading
An attempted crackdown on tax avoidance by firms will prove “futile” and the Government should instead work on an international agreement to target company owners, a former City minister has said. Lord Myners, a former Labour minister and former chairman of companies including Marks and Spencer, said firms would find… – Continue reading
The medical device manufacturer Medtronic has launched a USD17bn bond to finance part of its USD43bn corporate inversion acquisition of Ireland-based Covidien, in replacement of the cash held by its foreign subsidiaries that it was prevented from using following the United States Department of Treasury’s announcement of anti-inversion measures in… – Continue reading
The United States Internal Revenue Service (IRS) has provided guidance with respect to jurisdictions that have been treated as if they had a Foreign Account Tax Compliance Act (FATCA) intergovernmental agreement (IGA) in existence, although that agreement has remained unsigned. Under previous US transitional FATCA rules, IGAs reached in substance… – Continue reading
Bill Dodwell comments: “Chancellor George Osborne will deliver the final Autumn Statement of this parliament. We expect that most of the announcements will concentrate on the outcomes from proposals launched at earlier Budgets, together with some technical changes. There will also be the first consultation on how the UK should… – Continue reading
As oil prices plunge and Russia bleeds capital, the Kremlin is cracking down on residents who it says are evading taxes through holdings overseas. A law slated to go into effect on Jan. 1 is designed to clamp down on Russian citizens and companies that the Kremlin thinks are avoiding… – Continue reading
CORPORATE SECRECY, GLOBAL MONEY LAUNDERING MAKES IT HARDER FOR EMERGING ECONOMIES TO FIGHT CORRUPTION Corruption is a problem for all economies, requiring leading financial centres in the EU and US to act together with fast-growing economies to stop the corrupt from getting away with it, anti-corruption group Transparency International said… – Continue reading
Corruption is feared to be worsening in China, Turkey and other fast-growing economies, an anti-graft watchdog warned Wednesday, also urging the world’s banking centres to help combat sleaze and money-laundering. Transparency International released its annual Corruption Perceptions Index (CPI), which ranked Sudan, North Korea and Somalia as the worst offenders… – Continue reading
YORKSHIRE businesses that invest in research and development could face higher tax bills if Chancellor George Osborne uses his Autumn Statement to water down tax breaks following complaints by Germany. One of Mr Osborne’s flagship policies is set to be reformed on Wednesday following the resolution of a dispute with… – Continue reading
BVI Business Companies A1. What is the law on keeping and retaining records? Section 98 of the BVI Business Companies Act 2004 (BCA) has always provided that a BVI business company must keep records that: are sufficient to show and explain the company’s transactions; and will, at any time, enable… – Continue reading
Non-resident UK homeowners that have spent less than 90 days in their UK property in the previous tax year will be liable to pay capital gains tax (CGT) on any gains when they sell that property from next year, the UK government has confirmed.02 Dec 2014 Private wealth tax Tax… – Continue reading
Argentina and Belgium have separately accused HSBC bank’s Geneva branch of setting up a network of offshore accounts to help their citizens avoid paying billions of dollars in taxes. The Belgian charges were filed Monday and the Argentine charges were announced Friday. HSBC, formerly known as Hong Kong & Shanghai… – Continue reading
Jersey Romania TIEAJersey and Romania signed a tax information exchange agreement (TIEA) at the Romanian Embassy in London on 1 December. The agreement was signed by the Minister for External Relations, Senator Sir Philip Bailhache, and the Romanian Ambassador, His Excellency Ion Jinga. Senator Bailhache said: “We attach great importance… – Continue reading
“Nothing abnormal about the way Starbucks is run” The new chief executive of Starbucks has admitted that the coffee shop chain is unlikely to pay any UK corporation tax for another three years. Speaking to the Evening Standard, Mark Fox said the tax wouldn’t be applicable until the company turned… – Continue reading
London & Capital’s US family office has seen its assets under management (AUM) surge by 226% to £750 million and managing director Daniel Freedman sees no signs of this growth slowing. The company has been a clear winner in this specialist field after many wealth managers and banks withdrew their… – Continue reading
The Cayman Islands currently has in place an intergovernmental agreement (IGA) with each of the United States and the United Kingdom and has passed domestic legislation to make compliance with the IGAs a matter of Cayman Islands law (Cayman FATCA). The Cayman Islands Tax Information Authority (TIA) issued Guidance Notes… – Continue reading
A Los Angeles tax attorney has received more than 6,500 pages from the Internal Revenue Service on the agency’s Offshore Voluntary Disclosure Program and how it trains its agents. The Brager Tax Law Group asked for the IRS documents through a Freedom of Information Act request in April filed on… – Continue reading
