Located along the Northeast corridor of the United States, Rhode Island is a mere 180 miles from New York City. The small coastal state is known for its knowledge economy based on its elite universities and hospitals. In 2013, Rhode Island’s GDP was US$53.2 billion. The largest contributor to the… – Continue reading
BEIJING, May 21 (Xinhua) — China has signed agreements with 99 countries to avoid goods being taxed twice as they cross borders in order to benefit more domestic enterprises going global, said a senior taxation official on Thursday. Wang Wenqin, deputy director of the State Administration of Taxation’s international tax… – Continue reading
As part of a push to control money laundering in the global banking system, the HKMA has called on lenders to peek into customers’ filings, reports the South China Morning Post. Banks in Hong Kong are calculating just how much tax expertise they will need to add over the coming… – Continue reading
The advantages of off-shore investments Two of the top reasons that South African investors are given to encourage offshore investments are that going offshore diversifies your portfolio and that it gives you access to sectors you could never find on the resource-heavy JSE. “While those are not reasons to be… – Continue reading
THE BJP-led National Democratic Alliance government, which had made a lot of noise about black money and the illegal stashing of funds abroad in the run-up to general elections last year, finally got down to some serious work to tax ill-gotten wealth and curb its growth. Last week, the government… – Continue reading
Taipei, May 16 (CNA) Chinese yuan-dominated deposits held by banks operating in Taiwan hit a new high as of the end of April, according to the Central Bank of the Republic of China. Market analysts said that the increase in the balance of Taiwanese banks’ yuan deposits largely resulted from… – Continue reading
The minimum alternate tax row has damaged the credibility of government promises to enforce an investor-friendly tax regime and made the Indian stock market Asia’s worst performer this year New Delhi/Mumbai: Castleton Investment Ltd, a unit of GlaxoSmithKline Plc (GSK), in 2012 asked an arm of the Indian finance ministry… – Continue reading
House Foreign Affairs Committee Chairman Ed Royce (R-CA) and Congressional Armenian Caucus Co-Chair Frank Pallone (D-NJ) were among the first Congressional leaders to welcome the May 7th signing of the U.S.-Armenia Trade and Investment Framework Agreement (TIFA), a longstanding policy priority for the Armenian National Committee of America (ANCA). Chairman… – Continue reading
House Foreign Affairs Committee Chairman Ed Royce (R-CA) and Congressional Armenian Caucus Co-Chair Frank Pallone (D-NJ) were among the first Congressional leaders to welcome the May 7th signing of the U.S.-Armenia Trade and Investment Framework Agreement (TIFA), a longstanding policy priority for the Armenian National Committee of America (ANCA). Chairman… – Continue reading
FATCA—the Foreign Account Tax Compliance Act—is America’s global tax law, called an American tax nightmare by the New York Times. That is an apt description. It was quietly enacted in 2010, and after a four-year ramp up, it’s finally in effect. Never before has an American tax law attempted such… – Continue reading
India is well on its way towards achieving meaningful financial sector reform and development, and time is of essence. Last month, the International Monetary Fund (IMF) stated that India will overtake China as the world’s fastest growing economy in 2015, buoyed by a rising middle-class, a young population, and competitive… – Continue reading
NEW DELHI: The Special Investigation Team on black money informed the Supreme Court on Tuesday that 339 accounts in HSBC bank held by Indians had a net amount of Rs 6,400 crore on which the income tax department has raised a demand of Rs 4,520 crore. “Amount of Rs 237… – Continue reading
The Chinese government has been paying close attention recently to the effects of offshore entities having ownership or control of Chinese companies or assets. Following the release of the draft Foreign Investment Law in January 2015, the State Administration of Taxation (SAT) issued a Bulletin on the tax treatment of… – Continue reading
On July 29, 2014, the State Administration of Taxation (SAT) of the People’s Republic of China (PRC or China) released The Notice Regarding the Launch of Tax Anti-Avoidance Investigations on Remittance of Substantial Amounts of Service Fees and Royalty Payments (Circular 146), which requires tax authorities at all levels to… – Continue reading
New rules applicable to payments made by Chinese companies to ‘related’ companies offshore will prevent them from artificially shifting profits to lower tax jurisdictions through “unreasonable” service and royalty payments, the State Administration of Taxation (SAT) has said. Circular 16, which came into force on 18 March, and its accompanying… – Continue reading
Global business The European Union outlined its strategy to create a digital single market. The thrust of the proposals include establishing standard rules for buying goods online, pruning cross-border regulations on telecoms and reducing the tax burden on businesses. But the plan also calls for a “comprehensive assessment” of whether… – Continue reading
The nation’s anti-corruption campaign and drive to track down economic fugitives and corrupt officials may help banks crack down on money laundering, analysts said. Banks have been updating watchlists for suspected money-laundering activities and heightening scrutiny of transactions and accounts. But they may be challenged by new forms of money… – Continue reading
The total “development finance” loss – counting both revenues and reinvested earnings – is estimated in the range of $250 to $300 billion. This prevents developing countries from stopping the outflow of money, which thus bleeds them of essential resources The financial crisis of 2008 had an interesting collateral benefit… – Continue reading
Hong Kong’s Financial Services Development Council (FSDC) has released a report setting out recommendations on policies, including tax measures, to help Hong Kong capitalize on the increasing number of Chinese enterprises looking to invest and expand overseas. Introducing the report, “Chinese Enterprises ‘Going Global’: Opportunities and Hong Kong’s Policy Responses,”… – Continue reading
In retrospect, HSBC’s decision in 1993 to abandon Hong Kong for London’s Canary Wharf was one of modern history’s worst business moves. It seemed perfectly wise at the time, just four years ahead of Hong Kong’s return to China and amid the early stages of Europe’s common currency boom. When… – Continue reading
By Saeed Azhar SINGAPORE, May 5 (Reuters) – Singapore banks, which have enlarged their China credit exposure in recent years, were hit by a drop in billions of dollars of China trade financing deals as mainland borrowing conditions became easier while offshore interest rates grew more expensive. The premium of… – Continue reading
As discussed in our previous legal update The Tax Man Cometh: Not Only Long Awaited “Safe Harbor”, Notice No.7 is set to present a different income tax regime for non-tax resident enterprises (“Non-TRE”). In addition to the long awaited “Safe Harbor”, it is worth-noting that Notice No.7 has introduced new… – Continue reading
Part Seven in our series comparing ASEAN business costs with China Singapore is the de facto financial and services hub for ASEAN, and as a city state with such a remit it is more pertinent to compare the dynamics of Singapore with Hong Kong rather than China as a whole…. – Continue reading
Monrovia – Chinese Businessman, Shun Feng, held on charges of tax evasion, economic sabotage and smuggling by the West Point Magisterial Court was Friday cleared of the charges, but warned by the court not to repeat the act. The five-year penalty that follows the crimes was also dropped by the… – Continue reading
The debate around transparency, information exchange and beneficial ownership continues to evolve and has demanded a real focus for those working in International Finance Centres (IFCs), which frequently find themselves in the frame when it comes to ill-considered accusations relating to secrecy and illicit financial flows. In fact, Jersey and… – Continue reading
[HONG KONG] Foreign interest is building in China’s Panda bond market ahead of potential rule changes that bankers expect to encourage more offerings. Monetary easing from the People’s Bank of China have dragged onshore renminbi bond yields below their offshore equivalents, raising the appeal of so-called Panda bonds to foreign… – Continue reading
Gulf state intends to set itself up as a new hub for wealth management as finance chief declares Switzerland’s old model to be ‘dead’, reports the Irish Times. Abu Dhabi intends to set itself up as a new hub for wealth management, with the head of its nascent international financial… – Continue reading
International investors are finding the compliance around qualified foreign institutional investor (QFII) licences burdensome as they prepare to file their tax returns before the July deadline. The QFII program, and its renminbi equivalent (RQFII), allows institutional investors – like non-resident Chinese fund managers – to invest in Chinese A-shares. The… – Continue reading
Although you may be working in China, does the ATO still consider you an Australian resident? It’s just one of the things you need to get absolutely right. The tax requirements for Aussies working overseas vary from region to region. Aussies working in Hong Kong will find last month’s tax… – Continue reading
Pfizer Inc. (NYSE:PFE) went big exactly a year ago when it announced a takeover offer for UK-based AstraZeneca plc (ADR) (NYSE:AZN). The company’s decision to lap up AstraZeneca was seen as opportunistic; it being laced with controversy on many accounts, with some allegations behind the company’s proposition to acquire AstraZeneca… – Continue reading
Li Keqiang warns banks that he will use the country’s FTZs to help bring down borrowing costs and force lenders to change their ways Premier Li Keqiang has sent a clear message to the mainland’s commercial banks: he will use free-trade zones to ratchet up pressure on the lenders to… – Continue reading
Offshore investors look to New Zealand property markets New Zealand is emerging as one of the preferred property markets for global investors. This is a key finding in Colliers Internationals’ Capital Markets Report where prime average commercial, retail and industrial yields in Auckland and Wellington proved higher than their global… – Continue reading
Chinese investors in Kenya have asked the East African Community to implement a double taxation agreement (DTA), saying the current regime has hurt their expansion plans. The investors with interests in construction, trade, service industry, manufacturing and real estate sectors said they currently face a heavy burden paying the same… – Continue reading
The true cost of the debt that China’s real estate developers peddled to eager international investors during a five-year property boom is now becoming clear. Having found themselves shut out of local bond and loan markets seven years ago, a band of developers began looking elsewhere for funds. First an… – Continue reading
In This Issue: • It’s Stifling in Here! SEC Rules That Companies Can’t Put Restrictive Language in Confidentiality Agreements That Could Potentially Stifle Whistleblowers • An Opinion on Opinions: U.S. Supreme Court Decision in Omnicare • Is OFAC the New Black? Schlumberger and PayPal—The Rise in the Enforcement of Sanctions… – Continue reading
[HONG KONG] China is set to enhance the convertibility of its yuan currency by allowing capital to be taken out on a daily basis from the largest investment scheme open to foreign investors, people with knowledge of the plans told Reuters. This could strengthen the global standing of the yuan… – Continue reading
(Reuters) – Australia needs to tighten safeguards against money laundering in its booming property market, which has attracted Chinese funds with likely links to corruption, an international anti-money laundering body said in a report released late on Tuesday. The intergovernmental Financial Action Task Force said real estate agents and lawyers… – Continue reading
SEJONG, April 22 (Yonhap) — South Korea and China on Wednesday signed a so-called advance pricing agreement (APA) that can ease tax audit burdens for companies operating in each other’s country. The new accord, signed during a meeting of their tax chiefs, will allow authorities to better check “transfer prices”… – Continue reading
BEIJING, April 20 (Xinhua) — China’s taxation authority unveiled ten measures on Monday to improve taxation services for investors to serve the Belt and Road Initiative. The measures will protect investors’ interests, promote development and achieve a win-win outcome, said the State Administration of Taxation (SAT). Tax guides will be… – Continue reading
Myanmar remains an enigmatic country – one of the largest and most populated in Asia but also one of its poorest and least understood. It remains a country that has largely stood still for seventy years – hardly any infrastructure of note was developed in the country since the end… – Continue reading
[BEIJING] Five foreign fund and private equity managers are set to gain approvals to enter a pilot scheme aimed at opening China to the US$2 trillion-plus global hedge fund industry. The firms, which include UBS Global Asset Management and Deutsche Asset & Wealth Management, received the go-ahead in February to… – Continue reading
SHANGHAI-The Chinese property developer Kaisa Group Holdings Ltd said it has defaulted on interest payments on its offshore bonds as it negotiates with its creditors to restructure its debts. The developer, based in Shenzhen, said in a statement published on the Hong Kong stock exchange website that it made neither… – Continue reading
The Hong Kong bourse has launched a special segregated accounts system for Stock Connect in an attempt to address investors’ concerns over the much-criticised pre-trade checking rules. A reformed trade settlement system was rolled out to Stock Connect investors yesterday in a bid to address concerns over the pre-trade checking… – Continue reading
U.S. guards at Canada’s rail hubs? April 20 If years from now, we discover that Prime Minister Stephen Harper turned out to be working for the U.S. government, who could be surprised? He almost had Peter MacKay indenture us to Lockheed Martin for 65 ruinously expensive F-35s. When he isn’t… – Continue reading
(Reuters) – Swiss bank UBS is looking to grow wealth assets in Asia-Pacific to the tune of 15 percent annually as it builds its presence in China and consolidates its leading position in the region. With 269 billion Swiss francs ($280.4 billion) of invested assets, UBS ranks as the biggest… – Continue reading
CHINA Tax Free Reorganisations • With circulars 109 and 116 jointly issued in December 2014 by the Ministry of Finance and the State Administration of Taxation, the Chinese authorities have relaxed the conditions for internal reorganisations. • Circular 109 deals with internal reorganisations. Provided the pertinent requirements are met, the… – Continue reading
India and China developing frameworks for Reits but while their sheer sizes impress, both face tax and high interest rate hurdles, reports the Business Times. India and China are both developing frameworks for real estate investment trusts (Reits), but the threat to Singapore’s position as a major regional Reit centre… – Continue reading
EUROPEAN M&A DOS AND DON’TS FOR NON-EUROPEAN BUYERS Inbound M&A in Europe by non-European buyers increased in 2014 by 68.6% compared to 2013, representing over a third of USD 901.4 billion total European M&A.1 For non-European buyers the basic framework of transactions may be similar, but there are a number… – Continue reading
Pakistan and China are re-negotiating agreement for the avoidance of double taxation convention and the prevention of fiscal evasion with respect to taxes on income. Sources told Business Recorder Saturday that the revised convention may not be inked during the upcoming visit of Chinese President as the re-renegotiations have yet… – Continue reading
China may be the global electronics factory, but it is neighbouring Taiwan that India is increasingly looking at to drive its ‘Make in India’ initiative. A team led by secretary electronics and information technology RS Sharma went to Taiwan in March, and met a few major companies. The delegation will… – Continue reading
