Hong Kong’s Financial Services Development Council (FSDC) has released a report setting out recommendations on policies, including tax measures, to enhance the city’s role as a regional and global financial booking center. Financial institutions utilize such centers to enter into contracts for financial products, undertake primary obligations for delivery or… – Continue reading
NEW YORK: Noting that progress on a bilateral investment treaty with India has been “slow”, a senior US trade official has said in the absence of progress on economic reforms by India to ensure ease of doing business, the likelihood of getting to such a treaty is “low”. “Frankly, it… – Continue reading
AUGUST DECLINE:Deposits at banks’ offshore banking units plunged 7.3 percent to 49.79 billion yuan and fell 2 percent to 277.15 billion yuan at domestic banking units Yuan deposits at Taiwanese banks fell 2.88 percent to 326.94 billion yuan (US$51.29 billion) last month from July, as the Chinese currency’s widening volatility… – Continue reading
Stimulus unleashed by China’s central bank will cushion Chinese companies –the region’s biggest dollar debt issuers — from a potential Federal Reserve interest rate increase, making cheaper yuan funds available. Five interest rate cuts by the People’s Bank of China since November and rules to relax yuan bond issuance onshore… – Continue reading
“Luxembourg is famous for two things: its steel industry and its rose cultivation industry”. This quote from an Italian guidebook of the 1930s was uttered by Luxembourg’s Finance Minister Pierre Gramegna at the annual conference of the Luxembourg Directors’ Association on 17 June 2015[1]. The economic outlook of the tiny… – Continue reading
Is Xi Jinping (習近平)’s anti-corruption campaign crushing it or embarrassingly ineffective? You make the call. It was widely reported the year before Xi assumed office that upwards of 18,000 corrupt officials had fled China since 1990 with about US$120 billion. In early 2012, the Ministry of Supervision released figures saying… – Continue reading
Taipei, Sept. 14 (CNA) The Kuomintang (KMT) government will be prioritizing passage of a cross-strait agreement on double taxation avoidance as well as bills on the budget, government restructuring and an all-volunteer military in the fall legislative session that opens Tuesday, Premier Mao Chi-kuo (毛治國) said Monday. Mao said the… – Continue reading
A wave of wealthy Asians is hurriedly moving assets to the United States – to school their children, invest in property or even avoid political uncertainty in China. But few of those immigrants know just how much of their money will eventually end up in the hands of the feds…. – Continue reading
Many countries have enacted a patent box regime in order to spur innovation and create domestic manufacturing jobs. Simply stated, a patent box regime provides a lower tax rate on income from the exploitation of patented goods than for other income. Among the countries that have patent box regimes are… – Continue reading
Apple’s CEO Tim Cook announced on Wednesday, Sept.9, that the famed brand’s revenue significantly increased in China by up to 75 percent in the past year. However, the country’s finance authorities cut the celebration short. China’s Ministry of Finance demanded Apple to pay 452 million yuan, a price equivalent to… – Continue reading
The yuan was headed for a record gain in the freely-traded offshore market, spurring speculation China’s central bank intervened to deter bets against its currency. The yuan strengthened 1 percent to 6.4013 per dollar as of 6 p.m. in Hong Kong, poised for the biggest one-day advance since offshore trading… – Continue reading
LONDON–Royal Bank of Scotland Group PLC (RBS.LN) has sold a portfolio of corporate-loan commitments related to its banking business in China for 498 million pounds ($755.1 million), as part of the bank’s strategy to focus mainly on U.K. and European customers. RBS said it has reached an agreement with China… – Continue reading
On August 25, 2015, the People’s Republic of China and Taiwan signed an Agreement for the Avoidance of Double Taxation regarding Taxes on Income (“the DTA”), which will enter into force when the legal procedures have been completed. The DTA’s highlights: 1. Permanent establishment (“PE”) specifications The DTA establishes a… – Continue reading
On September 1, Venezuelan President Nicolas Maduro arrived to Beijing in an effort to strengthen economic ties between Venezuela and China. In his second visit this year, the Venezuelan President signed a number of deals that will strengthen cooperation in new areas beyond the current focus on the oil industry…. – Continue reading
China appeared to expand efforts Thursday to bolster its currency in what traders said is an attempt to align its exchange rates at home and abroad. The yuan rose a record 1.2 percent in the offshore market amid speculation the People’s Bank of China was again acting to contain the… – Continue reading
Given how China is trying to internationalise its currency, including getting more countries to settle trade in local currencies, it is not surprising that Indian policy-makers are looking at how to increase the rupee’s international acceptability. While that will have to wait till the Indian economy acquires China’s heft, a… – Continue reading
Multinational companies are facing far more expansive and complex audits by tax authorities fighting over the same pot of profits as budget deficits continue to increase, reports BD Live. An inevitable outcome of efforts globally to prevent tax bases from erosion is double taxation and increased disputes over adjusted assessments… – Continue reading
In September 2014, the Hurun Research Institute published its annual listing of the richest people in China. It showed that IT tycoon Ma Yun had increased his personal fortune during the last year by 500% to $25 billion and in doing so, had climbed to first position on the list…. – Continue reading
As the Indian rupee touched a new 2-year low, State Bank chairperson Arundhati Bhattacharya today said it must fall further to help domestic exporters. “It (further fall in the rupee) is required, otherwise exports will become absolutely unviable. It is important to maintain parity. It can be achieved only if… – Continue reading
China is promoting foreign direct investment at 23 national industrial parks in the Xinjiang Uighur autonomous region by providing tax incentives to investors in a bid to boost the economy and turn Xinjiang into a core zone for trade, investment, and logistics on the Silk Road economic belt of the… – Continue reading
Three-quarters of global business leaders would accept higher taxes in exchange for greater clarity on acceptable tax planning, the Grant Thornton International Business Report has found. The survey of 2,580 businesses in 35 countries noted a significant increase from the last time the question was asked – last year –… – Continue reading
Investors could be hit hard if they are taxed on the capital gains earned from the sale of holdings in FPIs Today, a stable, predictable tax and regulatory regime is a sine qua non for creating a conducive climate for foreign portfolio investors (FPI). Investors wishing to invest in India… – Continue reading
By accepting the recommendations of the AP Shah panel on the issue of retrospective tax demand on FIIs, the Narendra Modi government has added one more item to the long list of its U-turns. And at the face of it, this one definitely is a wise one, though the question… – Continue reading
Offshore buyers, primarily from China, are driving demand for luxury properties in Canada, helping to fuel sales of multimillion-dollar homes in major markets outside of Alberta. More than 570 homes priced over $3-million sold in Vancouver in the first seven months of the year, up nearly 80 per cent from… – Continue reading
After years of commentary on FATCA from a distance, this writer got a little taste of it up close. It left a very unpleasant aftertaste and is taking a long time to go down. FATCA is bad for America. While knowing of, and criticising FATCA for years, it finally became… – Continue reading
The yuan traded in Hong Kong strengthened on speculation that relatively high offshore borrowing costs are keeping some investors from making bearish bets on the currency. The overnight Hong Kong interbank offered rate for the yuan reached the highest in almost seven months on Tuesday, before the People’s Bank of… – Continue reading
The Bahamas Ministry of Financial Services (MoFS) and the Bahamas Financial Services Board (BFSB) once again are collaborating on a broad outreach in Asia, using the 2015 China Offshore Summit series as an anchor event, reports The Bahamas Weekly. The Summit series (2 events annually) is designed specifically to educate… – Continue reading
Multinational enterprises (MNEs) producing or selling their products in China have had to contend with the commercial, legal, and tax challenges of managing how their intellectual property (IP) is used in relation to their Chinese operations. Regulatory approvals for joint ventures operating in China have often required that IP rights… – Continue reading
The Ministry of Public Security has announced a state-wide crackdown on underground banking to block the funnelling of ‘grey funds’ China’s Ministry of Public Security said on Monday that it would launch a three-month crackdown on underground banking to curb money laundering and illegal funds transfers as unstable markets stoke… – Continue reading
Investigator says Canadian real estate market has developed reputation as a place to launder money A report prepared for Canada’s anti-money laundering watchdog points to offshore cash in the real estate sector as a “significant risk” for criminal wrongdoing. The Financial Transactions and Reports Analysis Centre of Canada, commonly known… – Continue reading
Fuzhou, China, Aug. 24 (CNA) Lin Join-sane (林中森), chairman of Taiwan’s semi-official Straits Exchange Foundation (SEF), arrived in the southeastern Chinese city of Fuzhou on Monday in preparation for the next round of high-level meetings with his Chinese counterpart. Lin and the SEF delegation were greeted by Chen Deming (陳德銘),… – Continue reading
A round of capital flight is taking place in China, with many of the country’s wealthy rushing to send their assets abroad to dodge an imminent introduction of inheritance tax. A significant example is the recent purchase of a luxury house in Hong Kong by Alibaba founder Jack Ma for… – Continue reading
Taipei, Aug. 18 (CNA) Chinese yuan-denominated deposits held by banks operating in Taiwan were lower at the end of July from a month earlier on rising awareness of the downside risks in China’s economy, according to analysts. Analysts said recent volatility in share prices in China’s equity markets and interest… – Continue reading
Taipei, Aug. 18 (CNA) Taiwan and China will sign two agreements on taxation and aviation safety in their next high-level meeting to be held in Fuzhou, China later this month, a senior official of Taiwan’s Mainland Affairs Council (MAC) announced Tuesday. The meeting between the chiefs of Taiwan’s Straits Exchange… – Continue reading
The U.S. and China enjoy increasingly strong connections. Yet virtually no Chinese family or business relishes dealing with the Internal Revenue Service (IRS). American tax laws are famously complex, and dealing with the IRS can be like quicksand. Of course, whether they like it or not, U.S. citizens and green… – Continue reading
With the UK announcing new tax rules for foreigners living in the country, the government has been careful not to damage the country’s appeal to wealthy foreigners. The “non-dom” tax status “plays an important role in allowing those from abroad to contribute to our economy”, says George Osborne, the UK’s… – Continue reading
China devalued its currency on Tuesday after a run of poor economic data, a move it billed as a free-market reform but that some suspect could be the beginning of a longer slide in the exchange rate. The central bank set its official guidance rate down nearly 2 percent prior… – Continue reading
Only 23 percent of business leaders feel that recommendations from the OECD on base erosion and profit shifting will be successfully implemented, according to the findings of a new survey by Grant Thornton. Three quarters of business leaders would pay more taxes in exchange for greater clarity from authorities on… – Continue reading
[BEIJING] China’s top economic planning agency approved two policy lenders – China Development Bank Corp (CDB) and Agricultural Development Bank of China – to issue renminbi-denominated bonds offshore, the National Development and Reform Commission (NDRC) said on Tuesday. CDB, the country’s biggest policy lender and responsible for funding large infrastructure… – Continue reading
SINGAPORE’S easiest days as a financial hub are over. The city remains a gateway to Asia, a great base for basing multinationals, settling lawsuits and parking money. But elsewhere, the city is being sidelined; the worry is that is a sign of things to come. In just 50 years, the… – Continue reading
Since 2013, investment institutions have started to increase their investments in private healthcare institutions in mainland China. Though there hasn’t been a real local healthcare group, the modes of investment have become diversified, including the acquisition of healthcare institutions, the establishment of new healthcare institutions and the transformation of public… – Continue reading
LONDON–(BUSINESS WIRE)–Three quarters of business leaders would pay more taxes in exchange for greater clarity from authorities on what is acceptable, according to the Grant Thornton International Business Report (IBR), a global survey of 2,580 businesses in 35 economies. And while few expect a global agreement any time soon, the… – Continue reading
Vancouver International Airport is the major port of entry for millions in hidden cash being smuggled into North America by mostly Chinese citizens, a federal document investigation by The Province reveals. And according to money laundering investigators, the amounts identified in Canada Border Service Agency cash seizure data, obtained by… – Continue reading
When it comes to opening its $5.7 trillion bond market to global central banks, China is rolling out the red carpet. The world’s top underwriters are struggling to get in the back door. Morgan Stanley set up a joint venture that’s helped manage 30.2 billion yuan ($4.9 billion) of note… – Continue reading
CAPITAL flight to offshore tax havens, estimated at between US$21 trillion to US$32 trillion, poses a major challenge especially in tackling income inequality, poverty and debt issues. In total, 10 million individuals around the world hold assets offshore, with almost half of the minimum estimate of US$21 trillion to US$9.8… – Continue reading
Blaming foreigners for homegrown economic woes is a tradition of sorts in Washington. In recent years, the favored scapegoat has been China and its folkloric trade indiscretions. But, lately, some have taken to demonizing foreign companies for the sins of a broken U.S. corporate tax system. Given the importance of… – Continue reading
Prime Minister John Key has floated the idea of a land tax or stamp duty on foreign buyers in an effort to control some of the demand side pressures driving Auckland house price inflation well over 20 per cent, reports Interest NZ. His comments came as fresh research showed Auckland’s… – Continue reading
SINGAPORE – Singapore’s asset management industry grew strongly last year, with more sovereign wealth funds setting up shop here. Assets under management (AUM) rose 30 per cent to S$2.36 trillion in 2014 from S$1.82 trillion in 2013, said the Monetary Authority of Singapore’s (MAS) annual report 2014/15 released on Tuesday…. – Continue reading
Bank of Communications Co Ltd , China’s fifth largest commercial bank based on total assets, said it would issue $2.45 billion offshore preference shares to third party investors, to replenish capital and enhance competitiveness. The proposed issue of 5.00 percent non-cumulative perpetual offshore preference shares will also drive transformation of… – Continue reading
The Securities and Futures Commission (SFC) has released its annual survey, which showed the combined fund management business in Hong Kong sustaining another year-on-year increase to reach a record high at the end of 2014 of almost HKD17.7 trillion (USD2.3 trillion), up 10.5 percent. The survey’s findings indicate that Hong… – Continue reading
