Category: Tax evasion investigations

Who’s got guts enough to go after Canada’s tax-dodging corporations?

In its time, the Irving empire has had plenty of federal contracts — all of them lucrative, many of them controversial. So it wasn’t a surprise to hear that a federal cabinet committee is reviewing Irving’s $26 billion sole-source (but still unsigned) contract to build a fleet of warships for… – Continue reading

BUDGET2016 – IS THERE ROOM TO PAY MORE TAXES?

Anthea Scholtz calls for a careful balance between ‘spending’ and ‘revenue-generating’ activities. All eyes will be on Parliament on 24 February 2016 when South Africa’s annual national Budget will be presented by the newly re-appointed Minister of Finance Pravin Gordhan. The Budget speech has over the years given South Africans… – Continue reading

IRS Releases Dirty Dozen Scam List: Don’t be a Victim

Each year, people fall prey to tax scams. That’s why the IRS sends a list of its annual “Dirty Dozen.” Stay safe and be informed – don’t become a victim. If you get involved in illegal tax scams, you can lose money or face stiff penalties, interest and even criminal… – Continue reading

Govt seeks feedback on NZ implementation of OECD, G20 push to ‘end banking secrecy as we have known it’

The Government has released an issues paper on New Zealand’s implementation of an OECD initiative the OECD claims will “end banking secrecy as we have known it.” The OECD’s Automatic Exchange Of Information (AEOI) initiative is setting a global standard for sharing information between countries with the aim of reducing… – Continue reading

Sebi bars 22 brokers for ‘tax evasion’ trades of Rs 8,100 crore

NEW DELHI: Continuing its crackdown on misuse of stock exchange system for tax evasion, regulator Sebi on Wednesday barred 22 brokers from securities market for executing ‘reversal trades’ worth over Rs 8,100 crore to generate fictional profits or losses. However, these trading members would be allowed to function as stock… – Continue reading

Google Paid Just $3.1m EU Tax on $13 Billion Revenue: Report

Search giant Google – now a subsidy of Alphabet Inc. (NASDAQ:GOOG) – transferred around 11.7 billion euros ($13 billion) from its European operations to its accounts in Bermuda in 2014, in order to limit the tax burden on this income. This tax avoidance practice is often known as “Double Irish… – Continue reading

Are You Keeping Secrets from Uncle Sam Overseas?

If you think Uncle Sam has too many other problems to worry about what assets you may be hiding overseas, think again. “Governments are catching up to the fact that there is now a global economy and are requiring increasing reporting to ensure they collect ‘their fair share’ of tax… – Continue reading

Foreign investors risk Australian assets in Morrison crackdown as new tax rules apply

FOREIGN investors could be stripped of their Australian assets if found to have deliberately shifted profits offshore to avoid paying tax. For the first time new tax rules will be imposed on large multinational companies buying into Australia, forcing them to either pay tax on their local earnings or pack… – Continue reading

Gulf oil dilemma drives tax reforms to shore up deficits

The oil price slide is driving tax reforms across the region as Arabian Gulf economies seek to shore up a potential US$700 billion deficit. All six Arabian Gulf states are planning to introduce Value Added Tax (VAT) collectively. Various other tax reforms are also underway. The IMF warned in October… – Continue reading

EU and Andorra sign deal to curb tax evasion

The EU and Andorra have signed a new tax transparency agreement that will make it harder for EU citizens to stash undeclared income in financial institutions in Andorra. The agreement is in line with EU’s effort to increase tax transparency and tackle tax avoidance and evasion. This deal complies with… – Continue reading

Tanzania: Information Exchange With Tax Bodies

Double tax treaties enable competent authorities of the treaty partners to exchange important tax information necessary for implementing the treaty or the domestic laws on taxes of every kind and description imposed. For instance, exchanges of information may be made regarding tax avoidance by companies of the contracting states.Nevertheless information… – Continue reading

The OECD Action Plan – What’s Next?

The 15 part action plan aims to tackle global inequalities in taxation income, increasing transparency for tax administrators and significantly improving Multinational Enterprises’s compliance. With tax regulations of large corporations at the forefront of all policy makers’ minds, this latest endeavour from the OECD and G20 will address the varying… – Continue reading

EU tax changes vs Singapore’s sovereignty

Last month the European Commission launched its Anti Tax Avoidance Package, propelled by unprecedented political support for the fight against perceived tax avoidance by multinationals. In it the European Union stresses its full support for recent recommendations of the Organisation for Economic Cooperation and Development’s (OECD) BEPS project and it… – Continue reading

Kenya makes strides in tackling illicit financial flow

As part of strategic effort to tackle cases of international tax avoidance and evasion, Kenya has joined the league of 93 global nations; united to address the economic vices and has now signed the Multilateral Convention on Mutual Administrative Assistance in Tax Matters. The signing of the crucial agreement, last… – Continue reading

Apple’s latest tax avoidance ruse: Tech giant issues $12bn in bonds so that it doesn’t have to move money out of low-tax offshore havens to pay dividends

Apple has sold $12billion in bonds as part of another scheme to lower its tax bill. The tech giant got itself further into debt even though it has $215billion in the bank, more than the US Treasury. California-based Apple sold the bonds under a complicated scheme which is reportedly designed… – Continue reading

Consensus on conscience: Are we moving towards a fairer int’l tax system?

In the aftermath of the latest global financial crises, government have sought to recoup lost revenue through tax reform. This has put the spotlight on the issue of gaps in the current international taxation system that created opportunities for Base Erosion and Profit Shifting (BEPS) schemes. Simply put, BEPS are… – Continue reading

IRS lists hiding money, income offshore on ‘Dirty Dozen’ tax scams

ST. GEORGE — The Internal Revenue Service has announced that avoiding taxes by hiding money or assets in unreported offshore accounts remains on its annual list of tax scams known as the “Dirty Dozen.” “Our continued enforcement actions should discourage anyone from trying to illegally hide money and income offshore,”… – Continue reading

HMRC accused of hypocrisy over tax avoidance stance

Pinsent Masons has accused HM Revenue & Customs (HMRC) of hypocrisy over its recent approach to tax planning and avoidance. Fiona Fernie, a partner at the law firm, said many of the government department’s investigations of late had been politically motivated, “concentrating on the best soundbites for ministers”. Tax avoidance… – Continue reading

Irish Revenue Launches New Anti-Avoidance Website

The Irish Revenue has launched a new webpage that contains guidance on what it considers to be tax avoidance and information on the legislative tools available to detect and tackle avoidance arrangements. Revenue said its policy is “to challenge tax avoidance schemes and [the] unintended use of the legislation which… – Continue reading

Comment: Privacy v transparency – Withers’ Noseda on incoming OECD tax rules opening a new battle front

In almost every field of legal work, privacy is regarded as a primary and legitimate concern to protect the interests of individuals and organisations. This was confirmed recently when the European Court of Justice (ECJ) struck down the US-EU data exchange agreement amid fears that data transferred to the US… – Continue reading

Kenya to Intensify War Against Tax Evasion, Economic Crimes

Kenya will now be able to pursue individuals who use offshore companies to evade taxes and commit other economic crimes, after it signed the Multilateral Convention on Mutual Administrative Assistance in Tax Matters last week. The agreement is the most comprehensive multilateral instrument available for all forms of cooperation to… – Continue reading

TTIP could block Governments from cracking down on tax avoidance, study warns

Similar trade agreements have been used to facilitate apparent tax avoidance in the past A controversial new trade deal between the EU and the United States could make it more difficult to fight tax avoidance, a new report has warned. TTIP, the Transatlantic Trade and Investment Partnership, is expected to… – Continue reading

For tax evaders tax amnesty could be bad news and good news

The push for a tax amnesty has attracted a fair amount of criticism and even rebuke from analysts, the International Monetary Fund, the Organization for Economic Cooperation and Development (OECD), the World Bank and even the Corruption Eradication Commission (KPK). Yustinus Prastowo, a respectable tax analyst, went so far as… – Continue reading

Country-by-country reporting under Italian Law

In line with international developments, the Italian Government has been focusing on fighting tax evasion and avoidance in recent years. Studies and in-depth analyses on evasion and aggressive avoidance, conducted under the OECD BEPS project, which was delivered in October 2015, have led to the issuing of a series of… – Continue reading

Big corporations will always cheat (yep, I said cheat) on their taxes. Here’s how to deal with it

Let me give you a heads up: First, I’m going to tell you some things that will make you ill. Then I’m going to present a cure. It will make you feel better—until, of course, you realize that knowing the cure brings us as close to implementing it as buying an… – Continue reading

Varner: Taxes and international trade

A while back in Germany, I was driving on the straight as an arrow B-1. That is Bundesstrasse, the equivalent of a U.S. highway, a notch below the Autobahn. Roads tend to curve around farmers’ fields, having been there first. The B-1 from Cologne on the Rhine toward Berlin was… – Continue reading

California Legislature poised to pass replacement tax on health care plans

SACRAMENTO — After months of uncertainty, the Legislature appears poised to approve a tax on health care plans that would generate $1.27 billion annually and could substantially boost funding for developmentally disabled Californians for the first time in more than a decade. If lawmakers approve the tax in a series… – Continue reading

Slovak EU Presidency to tackle issue of tax evasion

BRATISLAVA, Feb. 12 (Xinhua) — Preventing VAT evasions should be one of the priorities of the Slovak EU Presidency starting this July, confirmed Andrej Kralik, head of the European Commission’s Representation in Slovakia. Europe is annually losing as much as 168 billion euros (189.5 billion U.S. dollars) on tax evasions… – Continue reading

Why Is Monaco A Haven For Tax Defaulters?

If Swiss banking secrecy laws gave Switzerland the world banking capital status, Monaco’s residence policy gives its realtors a thriving business. What is common between the Canadian Raonic who lost in the Australian Open semifinals and the Serbian Djokovic who won it? Well, they are both residents of Monaco, and… – Continue reading

Google tells Parliament it won’t pay ‘Google Tax’ in U.K.

Google’s top global tax executive told U.K. lawmakers that a new U.K. tax provision dubbed “the Google Tax” will not actually apply to the U.S. technology giant. The law, officially the Diverted Profits Tax, was introduced last year amid concerns that Google parent Alphabet Inc. and other global tech companies… – Continue reading

UK Chamber Backs Action On MNE Tax Avoidance

Amid ongoing debate in the UK on “corporate tax deals,” the British Chamber of Commerce has said the UK needs to comprehensively simplify business tax rules and eliminate loopholes that are exploited in aggressive tax avoidance schemes. On February 11, on the same day the Public Accounts Committee took evidence… – Continue reading

European Union ‘investigating up to 300 Google-style tax deals’

As many as 300 “Google-style” tax deals are under investigation across the European Union , it has been claimed. All 28 EU states are said to be involved in scrutinising a number of agreements struck by countries and multi-national corporations as part of a wider inquiry into unfair tax competition… – Continue reading

Extent of tax fraud unknown – SARS

The South African Revenue Service (SARS) still does not know the full extent of tax evasion, despite its work probing foreign bank accounts held by South African residents. It has been a year since SARS confirmed some account holders had been using their offshore accounts to evade their tax obligations,… – Continue reading

Dob-in-a-tax-cheat reward being considered by government

Cash rewards for dobbing in multinational tax cheats and greater protection for whistleblowers are being considered by the Turnbull government to reduce tax avoidance. In the US, whistleblowers who have provided information that lead authorities to tax cheats have received a cut of the billions of dollars recouped. Assistant Treasurer… – Continue reading

Black money: CBDT asks Income Tax department to speed up overseas requests

Officials said the Central Board of Direct Taxes (CBDT) has asked the taxman to send across to it all such cases for exchange of information which are getting “time barred” by March 31. With the current financial year coming to a close soon, CBDT has asked the Income Tax department… – Continue reading

Scrap high-denomination banknotes, urges ex-bank boss

Former Standard Chartered chief says eliminating €500, $100, SFr1,000 and £50 notes would prevent corrupt payments Governments should consider scrapping high denomination banknotes to combat financial crime and tax evasion, including paying tradespeople in cash, a former bank boss has said. Criminals move more than $2tn (£1.4tn) around the world… – Continue reading

GRA convening meeting with private sector on US Act targeting tax evasion

The Guyana Revenue Authority (GRA) is convening a meeting with the private sector on February 16 to discuss FATCA, the US extra-territorial law governing accounts held by US taxpayers overseas. In a notice in today’s Stabroek News, the GRA said that the focus of the meeting will be the Foreign… – Continue reading

Bank Julius Baer Hit With $547M Criminal Tax Evasion Penalty, Two Bankers Plead Guilty

Bank Julius Baer of Switzerland will pay a $547 million penalty as two bankers individually plead guilty. The bank itself is charged with helping U.S. taxpayers hide billions in offshore accounts and cheating the IRS. The Bank’s deferred prosecution agreement admits that it knowingly assisted U.S. taxpayer-clients in evading taxes…. – Continue reading

McDonald’s halves its tax bill, back pays $78m

McDonald’s Australia was able to more than halve its tax bill last year after routing payments via the low-tax nation of Singapore. Each year McDonald’s reduces its profit, and thus its local tax bill, by paying McDonald’s Asia Pacific based in Singapore, and registered in Delaware, a “service fee” amounting… – Continue reading

French Tax Update – Recent Case Law and Other Noteworthy Publications

The present French Tax Update will focus on an overview of several noteworthy publications, including decisions issued during the past few months by the French Administrative Supreme Court (Conseil d’Etat) and French Constitutional Court (Conseil Constitutionnel), as well as the European Commission decision in respect of the Belgian Excess Profit… – Continue reading

Scicluna insists Malta won’t budge from ‘red line’ over tax sovereignty

Finance minister will commission an impact assessment on on how a proposed package by the European Commission to clamp down on aggressive tax planning will impact Malta’s economy Malta will resist any attempt by the European Commission to reduce sovereignty over its own fiscal affairs, finance minister Edward Scicluna pledged…. – Continue reading

Brussels’ Corporate Tax Plan Falls Short of Reforms Needed

European Commission’s tax avoidance plan announced last week includes positives, like country-by-country reporting, but doesn’t go far enough to turn the tide against corporate tax dodging; Such reporting should be made public The European Commission last week announced proposals for new laws to tackle tax avoidance and evasion in the… – Continue reading

IRS 80- Swiss Banks 0

The formal IRS/Department of Justice (DOJ) Swiss Bank Program has concluded with 80 Swiss banks coming forward. The banks agreed to provide information about personnel, depositors and advisors who were participated in or assisted U.S. taxpayers in offshore tax evasion. In addition to disclosure and cooperation with investigations each of… – Continue reading

DNA EXCLUSIVE: AMAZON UNDER SCANNER FOR OVER RS 200 CRORE TAX EVASION

Amazon is also alleged to have taken the goods from manufacturers/traders at lower price and told them to compensate the difference by claiming Cenvat credit. However, nothing concrete has been found as yet to establish the said allegations. The probe is still underway. The Directorate General of Central Excise Intelligence… – Continue reading