Category: Value Added Tax

Hong Kong: A Guide To Tax Regulations In Hong Kong 2019 – 2020

While considering moving a business into a new market, one of the key consideration is that country's tax regime. What are the incentives that would attract foreign investment? Are there any double tax treaties in place? What is the rate for corporate tax? ... - Continue reading

Creditsafe pays £1m to HMRC under ‘Diverted Profits Tax’

Caerphilly-based credit referencing company Creditsafe has paid Her Majesty’s Revenue and Customs almost £1 million after it was served with a ‘Diverted Profits Tax’ charge. Registered as Creditsafe Business Solutions, the company, based at Caerphilly Business Park, sells business data for credit check purposes and other uses. According to full… – Continue reading

Angola’s General Tax Administration guarantees introduction of VAT in 2019

Value Added Tax (IVA) will replace the Consumer Tax in Angola in 2019, the coordinator of the Technical Group for the Implementation of IVA, Adilson Sequeira, said according to a report published on the website of the Angolan Ministry of Finance. “The introduction of IVA is the result of a… – Continue reading

Norway’s Parliament Rejects ‘Google Tax’ Proposal

Norway’s parliament, the Storting, has rejected a legislative proposal for the introduction of a tax on digital business models, labeled the “Google tax,” recommending instead that the Government explore the issue of digital taxation in partnership with the OECD. In rejecting the proposal, introduced by parliamentary commissioner Une Bastholm of… – Continue reading

HMRC To Add To Arsenal Against Diverted Profits

HM Revenue and Customs (HMRC) has launched a consultation inviting input on proposals to tackle arrangements entered into by individuals, partnerships, or companies that aim to move UK profits outside the scope of UK taxation, typically through the use of offshore trusts and companies. The new legislation, to be drafted… – Continue reading

EU launches formal Paradise probe

MEPs follow UK Treasury approach Allegations the Isle of Man was used as a base for international tax evasion have triggered a fresh investigation in the European Parliament. It comes precisely three months after the Paradise Papers claimed to expose widespread exploitation of VAT loopholes facilitated by the Island’s aircraft… – Continue reading

Poland’s PM designate says will continue fighting tax evasion

WARSAW (Reuters) – Poland will continue fighting tax evasion, allowing the government to keep public debt in check and finance its public spending agenda, Prime Minister-designate Mateusz Morawiecki said on Friday. He also told the Catholic Trwam television that value added tax revenue would most likely increase by 30 billion… – Continue reading

Taxmen set their sights on digital economy

KUALA LUMPUR: The taxmen of the Inland Revenue Board (IRB) and Royal Malaysian Customs Department have set their sights on the digital economy. Treasury secretary-general Tan Sri Dr Mohd Irwan Serigar Abdullah pointed out last week that some foreign-owned digital economy players like Google, Uber and Facebook are currently not… – Continue reading

Multi-dollar tax evasion discovered in import companies

HÀ NỘI — A number of enterprises have taken advantage of technology used for tax collection to avoid paying taxes. The Law on Value Added Tax (VAT) regulates that unprocessed, or preliminarily processed, agricultural, forestry and aquatic products imported from foreign countries are not subject to VAT. However, if these… – Continue reading

Why U.K. ‘Google Tax’ is Hitting British Plc

The U.K’s diverted profits tax was dubbed the ‘Google Tax’ even before its introduction in April 2015. Yet instead of netting foreign tech companies engaged in complex tax planning such as California-based Google Inc., only U.K. multinational companies outside the technology sector have issued warnings so far over the tax… – Continue reading

Deloitte Middle East Point of View: Ethical tax, construction market outlook, ISO 37001 on anti-bribery management, and GCC family businesses

Financial institutions are working together to combat tax evasion, bribery and corruption through ISO certifications and the Common Reporting Standard. These are among the topics discussed in the spring 2017 issue of Deloitte’s quarterly publication, the Middle East Point of View (ME PoV). The spring 2017 issue tackles several hot… – Continue reading

VAT and CRS to add to costs and regulatory burden of banks

Value added tax is likely to be an irrecoverable cost, negatively affecting margins for the banking sector Dubai: The UAE and GCC banks that are facing increased regulatory burden from Basel III capital requirements and International Reporting Standards 9 (IFRS 9) are expected to face further pressure in terms of… – Continue reading

Can Pay, Won’t Pay: Tax Evasion, Profit Shifting Rife in Central, Eastern Europe

The LuxLeaks and Panama Papers scandals aroused shock and outrage the world over. However, reaction from Central and Eastern European statesmen and citizens was decidedly more muted. A new report has suggested profit shifting and tax dodging by businesses in the region is endemic – perhaps accounting for the lack… – Continue reading

Greece Should Broaden Income Tax Base And Tackle Evasion: IMF

Greece needs to overhaul its tax system as part of the solution to the country’s economic woes, the International Monetary Fund said in its annual Article IV report for the country. In a report that echoed previous years’ recommendations, the Fund said that Greece must broaden its income tax base,… – Continue reading

Operators blame multiple taxation for poor performance of domestic airlines

The Airline Operators of Nigeria (AON) has blamed the poor performance of domestic airlines on multiple taxation by various agencies in the aviation sector. Capt. Nogie Meggisson, Chairman, AON, made the claim on Sunday in Lagos while reacting to the takeover of Arik Air and Aero Contractors by the Asset… – Continue reading

Cabinet approves formation of Goods and Services Tax Council, which will set the tax rate

The council will be chaired by Finance Minister Arun Jaitley and will make all the major decisions on the implementation of the new regime. The Union Cabinet on Monday notified and approved the formation of the Goods and Services Tax Council, the body that will oversee various issues regarding the… – Continue reading

What Brexit is Likely to Mean for Taxes, Trade and More

Regardless of whether you were surprised, overjoyed, dismayed or showed any other emotion (perhaps anger as you saw world markets tank), Brexit is here. Yes, we’re talking about the British exit from the European Union. We are not sure why the media coined the term “Brexit,” when it’s not only… – Continue reading

EAC fail to reach consensus on common tax rates

East African Community member states have failed to reach a deal on a common tax rate as the bloc’s smaller economies worry about significant revenue losses. The failure to harmonise value added tax, income tax and excise tax rates has left the regional bloc deliberating on how to harmonise legislation… – Continue reading

Gulf oil dilemma drives tax reforms to shore up deficits

The oil price slide is driving tax reforms across the region as Arabian Gulf economies seek to shore up a potential US$700 billion deficit. All six Arabian Gulf states are planning to introduce Value Added Tax (VAT) collectively. Various other tax reforms are also underway. The IMF warned in October… – Continue reading

French Tax Update – Recent Case Law and Other Noteworthy Publications

The present French Tax Update will focus on an overview of several noteworthy publications, including decisions issued during the past few months by the French Administrative Supreme Court (Conseil d’Etat) and French Constitutional Court (Conseil Constitutionnel), as well as the European Commission decision in respect of the Belgian Excess Profit… – Continue reading

Industry Expects Relief From Double Taxation For Ease Of Doing Business

While the central government is pursuing its objective to provide a certain and stable tax regime, it is critical that instances of dual levy of VAT and service tax on the same transaction are addressed urgently The levy of service tax as well as Value Added Tax (VAT) on the… – Continue reading

Gulf’s proposed 5% VAT may translate into more than 10% hit on net income: EY

The Gulf countries’ proposed 5% value added tax (VAT) may translate as more than a 10% hit on net income, unless tax efficiencies are improved, according to Ernst and Young (EY). “A 5% rate may not sound like a lot, but if it ends up as an additional cost on… – Continue reading