Category: VAT

‘We’ll Lose The Plot’ If Eu/Wto Dictate Taxation Reforms

The Bahamas will have “lost the plot” if it allows external pressures to dictate tax reform, a top accountant yesterday warning against any “knee jerk” changes. Gowon Bowe, the Bahamas Institute of Chartered Accountants (BICA) president, told Tribune Business that this nation must avoid reform merely for the sake of… – Continue reading

Qc Backs Income Taxes To Ease ‘Rich/Poor Divide’

AN outspoken QC is backing the introduction of corporate and personal income taxes as a way to reduce “the gulf between rich and poor” in the Bahamas. Fred Smith QC, the Callenders & Co attorney and partner, has added his voice to those urging the Government to use the European… – Continue reading

VAT compliance driving digital capabilities in the GCC

Muscat: Tax authorities in the Gulf Cooperation Council (GCC) are starting to use sophisticated digital platforms that require taxpayers to submit data in real time or near-real time prompting companies in the GCC to enhance their digital capabilities. This is changing the way businesses collect, format and report tax information,… – Continue reading

UK Parliament Opens Three Probes Into £12.6 Bln of Under-Collected VAT

British lawmakers are shifting their focus towards the offshores and tax havens detailed in the Panama and Paradise papers, in order to improve tax collection, curb multinationals’ tax avoidance practices, and track the money flows of ill-gotten gains. Kristian Rouz — Members of Parliament (MPs) are set to investigate the… – Continue reading

UK’s Proposed Digital Tax ‘Would Cauterize Investment’

The introduction of a unilateral revenue tax on digital businesses in the UK would stymie investment and be a strangely timed gamble, says accountancy firm Moore Stephens. The Government’s position paper, “Corporate tax and the digital economy,” released at the recent Spring Statement, includes a proposal to tax certain tech… – Continue reading

Ghana Revenue Authority to fix a 7% VAT withholding tax

The Ghana Revenue Authority (GRA) would, this year, start charging seven per cent VAT Withholding Tax on individuals and entities that transact business with the Ministries, Departments and Agencies (MDAs). “What we are seeking to do is that as a person is charging the 17.5 VAT on build-up cost of… – Continue reading

EU Commission Green Lights Italy’s Electronic Invoicing Plans

The European Commission has recommended that the EU Council approve a request from Italy to derogate from the VAT Directive in introducing a mandatory electronic invoicing obligation on all taxable persons established in Italy except exempt small firms. In its request, Italy submitted that introducing an obligation to provide such… – Continue reading

Norway Advocates Global Digital Tax Solution

The Norwegian Government is considering possibilities for the taxation of multinational companies’ “value creation” in Norway, including in the area of value-added tax, although it said that it would prefer a multilateral agreement on any new measure. In a letter to the parliamentary finance committee dated January 18, Finance Minister… – Continue reading

Bulgarian Presidency Outlines EU Tax Plans

The “fair and efficient” taxation of corporate profits and the fight against tax avoidance and evasion through enhanced administrative cooperation are among the priorities of the new Bulgarian presidency of the European Union, which commenced on January 1, 2018. The recently released program of the Bulgarian presidency states that it… – Continue reading

Cooked in cheap oil? ‘Tax-free’ Gulf states to introduce VAT to revitalise economy

Gulf states are planning to introduce value-added tax starting next year following the hit faced by the energy-rice countries due to a drop in oil prices. Gulf states are planning to introduce value-added tax starting next year following the hit faced by the energy-rich countries due to a drop in… – Continue reading

Supermarkets under spotlight for tax evasion

Three major supermarkets are under investigation for tax evasion by the Fiji Revenue and Customs Services. In an exclusive interview with FBC News, Revenue and Customs chief executive, Visvanath Das says the non-compliance by any one of the three supermarkets could amount an average of fifty million dollars each. Hot… – Continue reading

African tax authorities consider how to boost revenue

African nations will have more resources at their disposal to meet the Sustainable Development Goals if their national revenue authorities can boost tax collection. The United Nations Economic Commission for Africa estimates that the continent loses more than $50 billion through illicit financial outflows per year, much of this linked… – Continue reading

Revenue’s crackdown on VAT evaders yields £3.4bn from small and medium firms

Revenue & Customs collected an extra £3.4billion from small and medium-sized businesses in the tax year to April 2017 after a crackdown on firms that fail to pay VAT, according to tax investigation insurance company PFP. VAT accounted for 49 per cent of the extra tax take from investigations into… – Continue reading

Irish FinMin Considers Impact Of Brexit On Taxes

As part of the Irish Budgetary process, officials from the Finance Department have published a paper on the implications of Brexit for Ireland’s tax system. The paper was prepared for consideration by the Tax Strategy Group (TSG), an interdepartmental committee chaired by the Finance Department. The papers produced by the… – Continue reading

Japan Urged To Adopt 15 Percent VAT Rate

Japan should commit to new gradual increases to its consumption tax rate, beyond 10 percent, to help rein in its substantial deficit, a new report from the International Monetary Fund says. It said the Government should “place emphasis on a gradual, pre-announced schedule of consumption tax rate hikes, of 0.5… – Continue reading

OECD Holds Global Forum On VAT

Approximately 300 participants, representing over 100 delegations from countries, jurisdictions, and international organizations gathered in Paris for the fourth meeting of the OECD Global Forum on VAT on April 12-14, 2017. The keynote address was delivered by Wang Jun, China’s Minister of Taxation, who discussed the implementation of value-added tax… – Continue reading

Noonan: Too Early To Anticipate Tax Performance For 2017

Irish Finance Minister Michael Noonan has said that despite a dip in tax revenues for the first quarter of 2017, “it remains too early to discern any firm trends.” Noonan made the comment during an appearance before parliament’s Budget Oversight Committee. He said that his Department has increased its GDP… – Continue reading

Panama Must Continue To Improve Transparency: IMF

Panama must continue to improve tax transparency and how it exchanges information relevant in tax matters to sustain growth in its economy, the International Monetary Fund has said. In the concluding statement for its Article IV visit, warned that the countries shift toward “increasing trade restrictions could lead to a… – Continue reading

Slovakia Urged To Redouble Efforts Against Tax Evasion

Slovakia should tackle value-added tax and corporate tax evasion, the International Monetary Fund has said. In its annual report for the country, the Fund said that measures to target tax fraud and non-compliance have reduced the VAT gap – the amount lost compared with the theoretical maximum were the headline… – Continue reading

Finance Bill confirms measures to crack down on tax avoidance

The 2017 Finance Bill was published on Monday 20 March, introducing dozens of initiatives with a focus on improving and modernising the tax system The Treasury said the bill, which is over 700 pages in length, “continues the government’s crackdown on tax avoidance” and “improves the fairness of the tax… – Continue reading

Taxing oil in economic zones is illegal

SMUGGLING of petroleum products has been rampant in the last couple of years. The value-added tax (VAT) and excise-tax exemptions of free-port and economic zones (FEZs) are being abused by enterprising individuals. To curtail this problem, the Bureau of Internal Revenue in 2012 required the payment of VAT and excise… – Continue reading

President Trump eyes border tax on Mexico, China and Germany

The Trump White House favours a “flexible” border adjustment tax targeting countries with which the United States runs big trade deficits, including Mexico, China and Germany, the President’s top trade and industry adviser said. Peter Navarro, a sceptic of free trade, wants the US to entice advanced manufacturing production onshore… – Continue reading

Israel Tax Authority Deems Bitcoin a Taxable Asset

The Israeli Tax Authority has issued an official draft circular to clarify the tax guidelines that apply to bitcoin adopters. In an announcement last week, the Israel Tax Authority released its draft [PDF] on the proposed taxation of virtual currencies which are considered “assets”. Pointedly, the announcement also cites the… – Continue reading

In Slovakia, 2017 brings new tax legislation

The Slovak Government and Parliament made several changes to the tax system with effect from 1 January 2017. The recently adopted amendments concern – among others – corporate and personal income tax, value added tax, special levy in regulated industries, as well as social security and health insurance contributions. Here… – Continue reading

Ukraine: New Tax Reform Law adopted by Parliament

On 8 December 2016 the Ukrainian Parliament adopted in its first reading the Draft Law No. 5368 “On Amendments to the Tax Code of Ukraine (regarding improving the investment climate in Ukraine)” (hereinafter the “Tax Reform Law”). The Tax Reform Law will introduce among other things changes to VAT administration,… – Continue reading

South African Tax Bills Approved By Parliament

South Africa’s Ministry of Finance has published the 2016 Taxation Laws Amendment Bill (TLAB), which has received parliamentary approval and gives effect to the tax changes announced in the Budget in February this year, together with legislation confirming the final details of the Special Voluntary Disclosure Program (SVDP). With changes… – Continue reading

Gov’t keen to tax operations with offshore companies

Azerbaijan’s Taxes Minister Fazil Mammadov announced that operations with offshore companies are planned to be a subject of taxation in the country. Mammadov spoke about the changes to the Tax Code in a meeting of Azerbaijan’s parliamentary committee on economic affairs, industry and entrepreneurship. In tote, some 201 amendments and… – Continue reading

Rate Competition Is New International Tax Planning Reality

Lower corporate tax rates around the world are expected to play an important part in multinational companies’ tax planning in 2017, with a rate as low as 15 percent on the table in the U.S. and countries such as the U.K. planning to maintain or lower their current rates. A… – Continue reading