Category: Legislation

The Fifa scandal and money laundering laws

Blatt’s all folks!’ was probably the pick of the tabloid headlines following the announcement that Sepp Blatter intends (finally) to step down as president of Fifa. Over the course of the next few months, he won’t be the only person anxiously awaiting the outcome of the current investigations into alleged… – Continue reading

United States: KMT’s David Klein Considers Pennsylvania’s New Online Gambling Bill

Odds improve for online gaming Regulate or delegate — that’s the question facing Pennsylvania legislators as bills to legalize online gambling gain traction. A new bill in the state Senate — SB 900, allows the state, among other things, to license operators to conduct Internet gaming. It’s a practice many… – Continue reading

Can The United States Kill BEPS?

The United States is through trying to needle the OECD’s base erosion and profit-shifting project with pinpricks. Last week, Robert Stack, U.S. Treasury deputy assistant secretary (international tax affairs), abandoned the subtle digs Treasury had been using to attack BEPS and flat-out said the United States is extremely disappointed in… – Continue reading

Financial Industry Fears Fatca Start With No Legislation

The Bahamian financial industry is concerned it will have to start reporting information for the US Foreign Account Tax Compliance Act (FATCA) without the necessary legislation being in place, Tribune Business can reveal. Lawrence Lewis, a Deloitte & Touche (Bahamas) partner and accountant, confirmed to Tribune Business that there was… – Continue reading

Fund administration – opportunities for offshore and alternative investment funds

Following the implementation of the EU Alternative Investment Fund Managers (AIFM) Directive (2011/61/EC) and associated legislation, Cyprus now lays claim to being a growth jurisdiction within the European Union for the establishment and servicing of boutique and low cost alternative investment funds based locally or offshore. The choice of fund… – Continue reading

Birth of a New Era in Private Wealth

As the financial world continues its march towards a more transparent and open environment, regulations governing private wealth are under scrutiny. The traditional is changing for good while new players emerge. Once was a time, not too long ago, the words “Swiss bank” conjured up evocative imagery: secret deals; bank… – Continue reading

TAXE – a fundamental shift in ruling practice?

The LuxLeaks financial scandal, which entailed disclosure by the International Consortium of Investigative Journalists of tax rulings, galvanized public opinion and gave rise to the creation of TAXE, the European Parliament’s special committee on tax rulings. This article explains why TAXE was created and shares with you highlights from the… – Continue reading

New EU Rules on Disclosure of Ultimate Beneficial Owners

On June 5, new EU’s anti-money laundering (AML) rules, namely the Fourth EU Anti-Money Laundering Directive (“4AMLD”) and a new Regulation on the information accompanying transfer of funds were published in the Official Journal of the European Union. Together, this legislation represents the revised EU framework on anti-money laundering and… – Continue reading

Frustrated by Rs 20,495-crore tax demand on Cairn: Vedanta

MUMBAI: With its subsidiary Cairn India facing Rs 20,495-crore tax notice, billionaire Anil Agarwal-led Vedanta Group today said it is “frustrated” by the tax demand raised on it using retrospective legislation. The Income Tax Department had in March slapped a Rs 20,495 crore tax demand on Cairn India for failing… – Continue reading

Candidates’ plans to repatriate profits only encourage corporate tax avoiders

The last time the US tried repatriation – in 2004 – companies took the tax breaks and fired American workers. Better to close loopholes and invest in infrastructure If you had a spoiled 10-year-old at home who you found rifling through your wallet, what would you do? Would you spank… – Continue reading

North-East is becoming dustbin for Scotland’s rubbish, MP warns

THE North-East is becoming a “dustbin” for Scottish rubbish because of devolution, one of the region’s MPs has warned. Kevan Jones, the North Durham MP, said a “commendable” Scottish initiative to boost recycling had backfired by sending waste across the border instead, sometimes illegally. And he warned the problem was… – Continue reading

New EU anti-money laundering rules to take effect from 26 June

A raft of reforms to EU anti-money laundering rules will come into force later this month after they were finalised and published in the official journal of the EU, reports Out Law. The fourth Anti-Money Laundering (AML) Directive will take effect from the 26 June. EU countries will have two… – Continue reading

Australia plans new law on tax avoidance

Sydney, 10 June (Argus) — The Australian government has released legislation to tighten rules governing corporate taxation such as the use of offshore tax havens. The bill is not aimed at any particular sector of the economy, but several resource and commodity companies have come under scrutiny following a Senate… – Continue reading

Bahamas: Financial services keeping up with international best practices claims Strachan

Minister of Financial Services the Hon. Hope Strachan said international best practices are evolving at a rapid pace, particularly as it relates to automatic tax exchange initiatives, tax transparency, anti-money laundering and financial crime, and e-commerce, reports the Bahamas Weekly. Making her contribution to the 2015 Budget Debate in the… – Continue reading

Diverted profits tax – just for Google or relevant to insurance?

The Diverted Profits Tax (DPT), known by many as the “Google Tax”, is intended to stop large groups diverting profits from the UK by seeking to avoid creating a UK permanent establishment or using arrangements or entities which lack economic substance to exploit tax mismatches. Tax mismatches occur where intra-group… – Continue reading

Hong Kong needs to catch up with latest global tax standards

Hong Kong, as a world financial centre, will undertake legislative changes to implement automatic exchange of information of account holders Exchange of information is a recognised tool to enhance tax transparency and combat cross-border tax evasion. As a major financial centre, Hong Kong is committed to following global standards. While… – Continue reading

Big companies not trusted on tax

Most people do not believe big companies pay their fair share of tax, according research from energy giant SSE and ICAS, the Scottish accountancy institute. The YouGov study of 2000 adults found only a third of people think most big businesses in the UK pay their fair share of tax,… – Continue reading

Focus will be on how ‘Scottish GAAR’ anti-avoidance rule works in practice as devolved taxes take effect, says expert

FOCUS: Now that the first devolved Scottish taxes have come into force, the rest of the UK will be watching with interest to see how new tax authority Revenue Scotland manages and deals with avoidance risks. Much of this interest will be on how the new Scottish General Anti-Avoidance Rule… – Continue reading

Recent Tax Treaty Developments In Cyprus

Proposed Amendments To Cyprus’s Assessment And Collection Of Taxes Law The Cyprus Government has published a draft law amending the Assessment and Collection of Taxes Law (Law 4 of 1978) in order to facilitate implementation of agreements for automatic exchange of information with other countries. When it is enacted, the… – Continue reading

OECD releases Implementation Package for BEPS country-by-country reporting

08/06/2015 – Pushing forward efforts to boost transparency in international tax matters, the OECD today released a package of measures for the implementation of a new Country-by-Country Reporting plan developed under the OECD/G20 BEPS Project. The Country-by-Country Reporting Implementation Package will facilitate a consistent and swift implementation of new transfer… – Continue reading

Fourth European Anti-Money Laundering Directive launches UBO-register

On 20 May 2015, the European Parliament increased the hunt for tax evaders, money launderers and terror financiers by adopting the fourth instalment of the Anti-Money Laundering Directive (“AMLD”). The main novelty of the new directive is the introduction of a central UBO-register, a public register which identifies the ultimate… – Continue reading

Putin signs law on offshore assets amnesty

Russian President Vladimir Putin has signed a law allowing Russians to voluntarily declare foreign assets and bank deposits to avoid criminal, administrative and tax liability. Amnesty will be granted if the violation related to the declared property was made before January 1, 2015, according to the law published on the… – Continue reading

Coalition says kidnap risk means wealthy need tax reporting exemptions

Abbott government wants to exempt 1,000 private companies from tax transparency measures, partly because of claims of abduction threats The Abbott government is pressing ahead with plans to exempt about 1,000 Australian-owned private companies from tax transparency measures after claims wealthy owners could face kidnapping threats. After the kidnapping suggestion… – Continue reading

Kenny defends Irish tax regime as Apple probe nears completion

A European probe into the Irish taxes paid by technology giant Apple, as well as multi-nationals in Luxembourg and the Netherlands, is close to finishing. The news came as Taoiseach Enda Kenny issues a robust defence of Ireland’s corporate tax regime, which has been under international pressure in recent years… – Continue reading

FATCA is an attack on Canadian sovereignty

Retired Canadian lawyer Ginny Hillis has a message for the U.S. Congress. “They have no rights over me. None.” Hillis detests the “arrogance” of Congress for “imposing their laws on a sovereign nation with the complicity of that sovereign nation’s government.” America’s Foreign Account Tax Compliance Act (FATCA) “should embarrass… – Continue reading

Accord to Avoid Double Taxation with Norway Now Before Bulgarian Parliament

Bulgaria’s government has proposed to parliament to ratify the agreement with Norway to avoid double taxation of income. The agreement was signed in July of last year to update the regulation framework governing the bilateral economic relations, the cabinet said in a statement on Wednesday. The previous agreement had been… – Continue reading

Tough road ahead for Lebanon’s banks

In its report issued in May 2015, the International Monetary Fund (IMF) warned against the exceptional risks and challenges facing Lebanon as a result of several political and security factors both at the domestic and foreign levels. These challenges also result from worrying economic factors in terms of growth, the… – Continue reading

Hong Kong: Will The Very Efforts Designed To End The Offshore Industry Finally Legitimise It?

Since the beginning of the global financial crisis, politicians, the media and people on the street have engaged in a series of “blame games” to point fingers and punish those responsible for their own economic ills. For the past few years, one “culprit” has been firmly in the spotlight –… – Continue reading

French tax updates – recently published noteworthy publications

The present French Tax Update will focus on an overview of several noteworthy French tax court decisions issued during the past few months, in particular in relation with double tax treaty conditions to benefit from a tax credit, abuse of law challenges, increased amortization rates, and priority preliminary ruling requests… – Continue reading

Pharmaceutical companies called on to explain tiny tax contribution

The five biggest suppliers of publicly subsidised medicines in Australia recorded sales of nearly $5 billion last year but paid an average of just $10 million each in company tax. Research by the Parliamentary Library, obtained by Fairfax Media, has disclosed the tax contribution of multinational pharmaceutical companies, including Pfizer… – Continue reading

BBC uncovers ‘aggressive’ tax avoidance scheme

Anderson Group, one of the recruitment industry’s most high-profile companies, is promoting an “aggressive” tax avoidance scheme which experts are calling “abusive”. The scheme works by exploiting the government’s Employment Allowance. The scam could deprive the Treasury of tens of millions of pounds of National Insurance payments. Anderson Group says… – Continue reading

Guernsey: Guernsey Issues Amended Legislation And Updated Draft Guidance Notes On FATCA-Based Reporting

On 31 March 2015 amendments were made to the Income Tax (Approved International Agreements) (Implementation) (United Kingdom and United States of America) Regulations, 2014 (the “2014 Regulations”) which brought FATCA-based reporting into force under Guernsey law. FATCA-based reporting is implemented in Guernsey pursuant to the UK-Guernsey IGA, signed on 22… – Continue reading