Final regulations implementing the common reporting standard (CRS) have been published in the Isle of Man. In addition, it has been announced that the existing intergovernmental agreement (IGA) between the Isle of Man and the UK will be superseded by CRS, and that 2016 will be a transitional year. Read… – Continue reading
East African countries expect to collect more revenue under a new code drawn, by the world’s richest economies to stop foreign multinationals from dodging taxes in host countries. The new code — Base Erosion and Profit Shifting (BEPS) — adopted by G20 at its meeting in Turkey two weeks ago,… – Continue reading
Residents want to share their tax avoidance plan with other towns to force the treasury into closing tax loopholes A small town in Wales is attempting to register its independent businesses as offshore companies to demonstrate how flawed they believe the British and international tax systems are. By mimicking the… – Continue reading
MUMBAI: Formula One is seeking to encash a $15.45-million guarantee by debt-laden Jaiprakash Associates BSE 1.18 % on the ground that it hadn’t paid the sport’s organiser money that had been contractually agreed upon. The company said the amount is caught up in tax litigation and hence can’t be given…. – Continue reading
Canada and the UK have reached a deal on the application of the arbitration provisions of their double tax agreement (DTA). The Canadian Government announced on November 26 that the agreement was concluded through an exchange of notes in July and August. It governs the decision-making process of the arbitration… – Continue reading
(CNS): The UK’s overseas territories minister has told the Cayman Islands premier that the British government wants direct access to companies registered here for all of their law enforcement agencies, but the Cayman leader has so far refused. As the dispute between the UK and its territories continues, the return… – Continue reading
HM Revenue & Customs (HMRC) has warned people with offshore assets they will face ‘tougher’ penalties if they do not declare their full tax situation before the end of the year. Currently, people with offshore assets can use disclosure facilities to prevent criminal proceedings being issued and to reduce their… – Continue reading
The Kenya-South Africa double taxation agreement comes into force from January 1. An announcement in the November 19, South African government gazette says the agreement applies for taxes withheld at source. “A resident of Kenya will not be taxed on any South African business profits, unless it carries on business… – Continue reading
City watchdogs say Barclays adopted a no-questions-asked policy Bank did not check where ultra-wealthy clients’ money came from £72million fine has been imposed on the bank for turning a blind eye Barclays has been shamed over a murky £1.9billion deal with ultra-wealthy clients which left the country vulnerable to financial… – Continue reading
The UKtoday launched a campaign warning offshore tax evaders that the governmentwill soon receive details on UK taxpayers from more than 90 countries under new global agreements. The campaign by David Gauke, the Financial Secretary to the Treasury says that the government is giving people one last chance to come… – Continue reading
Department says letter was sent as part of series of measures to discourage wider issue of tax avoidance and was not a legally binding document HMRC wrote to a tax avoider asking them to sign a pledge never to do it again, it has emerged. The letter was intended to… – Continue reading
Individuals should focus on legitimising their assets while they can and start to look at how they can restructure their investments. Measures to tackle tax evasion continue to be a key focus for the government, with £800 million HMRC funding to be reinvested in additional work to tackle tax ‘evasion… – Continue reading
When the first flames of the Arab Spring began to burn, a Tunisia suffering from decades of mismanagement, inequality and abuse broke free from under the long reign of Zine Al-Abidine Ben Ali. As the government fell and the turmoil in the country spread across the region, the sheer scale… – Continue reading
The planned penalty for arrangements subject to the General Anti-Abuse Rule (GAAR) has now been formally set at 60% (in line with the amount proposed in consultation), and the anticipated introduction of rules addressing hybrid mismatch arrangements has been confirmed for 1 January 2017. Civil penalties for those who enable… – Continue reading
The House of Lords has recently criticised the speed of further devolution of powers to Scotland, but nevertheless the Scotland Bill is progressing through the UK parliament. Devolution more widely across the UK is a direction of travel in this Chancellor’s Autumn Statement. Among the announcements, George Osborne said that… – Continue reading
FOCUS: Significant changes to the international tax system planned for the next five years, coupled with a major shift in attitudes towards tax avoidance, has all but killed off the traditional tax scheme. So what does the future hold for businesses seeking to engage in tax planning? To celebrate Out-Law’s… – Continue reading
Sum of Us has said it wants to hit Amazon where it hurts – its sales – by posting ads alerting customers of Amazon’s tax practices An online activism group has plans to hit Amazon with a massive anti-tax avoidance ad campaign come Black Friday. Sum of Us has said… – Continue reading
4AMLDThe arm of the UK Government is likely to extend into offshore trusts where they contain UK tax paying beneficiaries. Whether or not this information will be linked at an EU level remains to be seen. Following the introduction of the EU’s 4th Anti-Money Laundering Directive (4AMLD), and recent G20… – Continue reading
Deutsche Bank AG’s Swiss unit agreed to pay $31 million to receive a non-prosecution agreement in a U.S. probe of banks in Switzerland that helped Americans evade taxes. The accord announced Tuesday by the Justice Department is the third-largest of 57 reached this year with Swiss banks. The firms, which… – Continue reading
HMRC introduces new measures to tackle tax avoidance The Chancellor has introduced a new penalty equal to 60% of tax due for all cases successfully tackled by the General Anti-Abuse Rule (GAAR). The GAAR was introduced in 2013 as part of the government’s attempt to crack down on tax abuse…. – Continue reading
Expats savers will have some fixed feelings at the changes in interest rates on offshore fixed and instant access accounts. Conister Bank has notched up a couple of rate increases on fixed rate accounts – the three year fix rising 0.5% to 2.30% and the one year fix up 0.10%… – Continue reading
Corporation tax in Northern Ireland is on its way ‘The future depends on what you do today’. It’s a very simple mantra but it rings so true when you consider the author and what he achieved, Mahatma Gandhi truly was a man of iconic vision and wisdom. As details of… – Continue reading
Teddy Sagi still owns a 30 per cent stake in Playtech, the gambling software firm The Israeli billionaire Teddy Sagi’s £460m takeover of Plus500, the financial trading firm, was torpedoed yesterday due to “concerns” raised by the Financial Conduct Authority watchdog. Mr Sagi is the founder of the gambling software… – Continue reading
Over 90 jurisdictions have committed to the OECD’s Common Reporting Standard (CRS), creating comprehensive global automatic information exchange for financial assets and the entities through which such assets may be held. Over 70 jurisdictions have signed the OECD’s Multilateral Competent Authority Agreement, which implements the CRS. The CRS is scheduled… – Continue reading
Of these, one advance pricing agreement has a ‘rollback provision’ The government has concluded 11 agreements to tax multi-national companies via the transfer-pricing mode. Of these, one advance pricing agreement (APA) has a ‘rollback provision’, which means those relating to previous years. The government has signed 22 APAs so far… – Continue reading
Celebrities and sportsmen are among the thousands of taxpayers receiving accelerated payment notices from HM Revenue & Customs (HMRC) for taking part in alleged tax avoidance schemes. Accelerated payment notices (APN) are a new tool for HMRC to wield against wealthy taxpayers – but contractors, landlords and many less well-off… – Continue reading
The extra corporate tax collected by tax inspectors targeting the UK’s largest businesses fell 13 per cent last year to £3.5bn, according to new figures, reports the Financial Times. Heather Self, a partner at Pinsent Masons, international law firm, said the decline was likely to be a sign that HMRC… – Continue reading
Following a ruling by the Swiss Federal Tax Administration, payments of interest under the DDM Treasury SEK 300 million Senior Secured Notes with ISIN SE0005280831 (the “Notes”) are subject to Swiss withholding tax since the refinancing executed in June 2015. On 23 June 2015 certain amendments to the documentation in… – Continue reading
Professional services firm PwC has predicted that UK Chancellor George Osborne will introduce an “apprenticeship levy” and seek to lessen the impact of tax credit cuts when he delivers his Autumn Statement on November 25. In his Summer Budget, Osborne pledged that the Government would “introduce an apprenticeship levy on… – Continue reading
Failed tax avoidance business Welbeck hired young actors to push schemes onto City big earners, and reaped millions in commissions that fuelled lifestyles of fast cars and exotic holidays, according to a whistleblower who worked at the firm. Welbeck Solutions sold pensions and financial products, but it specialised in tax… – Continue reading
The North will have its own 12.5pc corporate tax rate from 2018. This means that it will compete harder against the Republic for FDI projects, writes Dan White The 12.5pc company tax rate will no longer be confined to the southern part of the island. Last week’s ‘Fresh Start’ agreement… – Continue reading
The UK has climbed to 15th place in the latest World Bank Group and PwC Paying Taxes report, and is third top among G-20 countries, behind Saudi Arabia and Canada. Paying Taxes 2015 measures how burdensome a country’s tax regime is on the average medium-sized company. The report found that… – Continue reading
The UK’s All-Party Parliamentary Group on Responsible Tax will on November 23 launch a public consultation on the impact of the OECD’s base erosion and profit shifting on the tax rules in place in the UK. Led by Margaret Hodge, the former Chair of the UK’s Public Accounts Committee, the… – Continue reading
On 18 June 2013, the Progressive led government issued a press release titled, “Cayman’s Action Plan Includes Beneficial Ownership”. The press statement came on the heels of the UK taking over the Presidency of G8, at the 17-18 June 2013 G8 Summit in Northern Ireland. The most interesting part of… – Continue reading
The governments of Malta and the Caribbean island of Caraçao have signed a treaty, which both sides say will prevent tax evasion and the double taxation of companies operating in both jurisdictions. In line with internationally agreed standards, Malta’s finance minister Edward Scicluna and his counterpart from Caraçuo Jose Jardim… – Continue reading
Plans that would effectively end the UK’s non-domicile status for tax purposes have the potential to do more harm than good and could be contrary to EU law, according to the Institute of Chartered Accountants. The changes, announced by chancellor George Osborne in the 2015 summer budget, mean that non-UK… – Continue reading
British oil and gas contractors are amid a huge financial upheaval as a combination of job cuts and tax changes threaten their well-paid lifestyle. Thousands of contractors in the oil and gas industry worldwide have lost their jobs as companies look to protect their cash by sacking staff. The oil… – Continue reading
The British Bankers Association (BBA) has warned that the UK’s attractiveness as an international banking center is being eroded, and has called on the Government to review the tax treatment of the sector, reports Tax News. The BBA said that urgent action is needed if the UK is to remain… – Continue reading
Earlier this week the heads of state of the 20 largest global economies have agreed to adopt the 15 BEPS action points in their respective countries. Ample reason to take a closer look at the details and implications of one of the most far-reaching upcoming tax adjustments. Action 4 of… – Continue reading
Measures Will Impact Financial Services, Investment Fund, Aviation Leasing and Other Sectors G20 finance ministers last week finally approved the wide-ranging “BEPS” reforms to the international tax system. The measures include a proposed new OECD treaty definition of “Permanent Establishment” under which the mere negotiation of contracts could create a… – Continue reading
Darion Pohl, chief executive of Prism Xpat provides an expert view on the factors an adviser needs to take into account when considering a defined-benefit pension transfer to a recognised overseas pension scheme for a UK retiree planning to retire overseas. This follows the introduction of the UK pension reforms… – Continue reading
Approximately 40 per cent of individuals who have used the UK’s Liechtenstein Disclosure Facility (LDF) were already being investigated by HM Revenue and Customs (HMRC), according to international law firm Pinsent Masons, reports Tax News. The LDF was launched in 2009 and will close for new registrations on December 31,… – Continue reading
EY believes the key to a robust tax system is striking the right balance between enabling and mandating A report by the Big Four firm explores whether proposals outlined in HMRC’s consultation document on “Improving large business tax compliance” has led the UK far away from the robust but competitive… – Continue reading
Perhaps in theory there are ways to fix tax avoidance, but they aren’t politically feasible. Libertarian anarchists used to say “taxation is theft.” New research by economist Gabriel Zucman suggests that there is some truth to this—when tax havens are taken into consideration. In his new book The Hidden Wealth… – Continue reading
American Innovation Matters (AIM), a coalition of companies that includes Cisco, Boeing, Intel, Oracle and Facebook, has released a statement pushing for the introduction of a US patent box, or an “innovation box” as it is known in the United States. The statement looks at the endorsement on November 16… – Continue reading
The Isle of Man’s role as an offshore finance centre will come under the spotlight on television following a Welsh town’s experiment in how to avoid paying UK tax. Independent traders in Crickhowell, led by the salmon smokery, the local coffee shop, the adventure clothes shop, the optician, the book… – Continue reading
TAIPEI — Japan and Taiwan will sign a bilateral tax treaty aimed at improving the flow of people and investment between the two economies, sources familiar with the matter said on Wednesday. The treaty will reduce or eliminate taxes on dividends repatriated from companies’ overseas branches and help avoid issues… – Continue reading
Globally, taxpayers are becoming more interdependent, and engage in cross-border financial activities with more regularity. With this, comes the need for enhanced co-operation and understanding across countries on issues such as tax administration and transparency, to curb tax evasion and ensure a fair allocation of taxes to tax jurisdictions. “The… – Continue reading
Brussels – Google and Facebook were among US companies facing questions on Monday from European Union lawmakers about their tax-reducing techniques, a month after regional antitrust regulators raised the stakes by ordering Starbucks and a Fiat Chrysler Automobiles NV unit to repay millions of euros in back taxes. The queries… – Continue reading
HM Revenue and Customs (HMRC) has published a brief on how the UK will implement the G20’s High Level Principles on Beneficial Ownership Transparency. The brief explains that the UK will require companies to report beneficial ownership information to a central register. This register will be publicly accessible and is… – Continue reading
