The Australian Taxation Office (ATO) has further updated its guidance material on the Australia-US FATCA Intergovernmental Agreement (IGA). This is especially important in relation to self-certification requirements. The ATO has followed the US interpretation that a FATCA self-certification must be obtained before a new individual account is opened. The OECD… – Continue reading
The Barbados Government has taken key steps to meet the requirements of the Foreign Account Tax Compliance Act Intergovernmental Agreement (FATCA IGA) with the United States, Minister of Finance Christopher Sinckler said during a public consultation. Sinckler said: “With respect to legislative requirements, I am pleased to inform you that… – Continue reading
Surprising as it may seem, most of the advantages of the Cypriot Tax Regime were, up until recently, mostly directed to non- Cypriot Tax residents. This effectively meant that in order to enjoy the full benefits of the Regime one had to be a non-resident. The idea behind this was… – Continue reading
Following successful conferences in the Isle of Man in 2014 and in Gibraltar in March 2015, leading offshore law firm DQ Advocates and global law firm Latham & Watkins will be hosting their latest Global Tax Investigations Conference in the Isle of Man on 11 September 2015. The conference is… – Continue reading
NAIROBI: The civil society in Kenya wants Parliament to join them in the push to end tax evasion through enactment of laws that enhance compliance from international trade. This, they argue, will boost revenue collection by the State. They say tougher laws will criminalise tax avoidance and spell harsher penalties… – Continue reading
A new income tax treaty between the Bulgaria and the United Kingdom was signed in March 2015. The treaty, once it is ratified and enters into force, will replace the existing income tax treaty (1987). The new income tax treaty includes measures that differ from the provisions under the current… – Continue reading
THE OECD has published three reports outlining the framework for the automatic exchange of financial information between governments as part of its efforts to curb tax avoidance and evasion. In October last year, the organisation announced the agreement to automatically share tax information on individuals by the year 2018, to… – Continue reading
On 6 August 2015, Portugal and the United States signed a Foreign Account Tax Compliance Act (FATCA) Agreement. FATCA seeks to obtain information on accounts held by U.S. taxpayers in other countries. It requires U.S. financial institutions to withhold a portion of certain payments made to Foreign Financial Institutions (FFIs)… – Continue reading
Would businesses really be willing to pay more tax if they had more certainty on what is acceptable for cross-border tax planning? According to a recent Grant Thornton International Business Report, three quarters of business leaders would in fact be ready to pony up more taxes in exchange for greater… – Continue reading
On July 29, 2015, Charles Boustany (R-LA) and Richard Neal (D-MA) released a bipartisan discussion draft of proposed Internal Revenue Code (the “Code”) amendments that would cut the United States income tax rate on corporate profits generated from patents and certain other intellectual property to approximately 10% (the “Tax Rate… – Continue reading
High net worth individuals seen using illiquid stocks in options segment to evade taxes, manipulate markets; order likely soon The Securities and Exchange Board of India (Sebi) is likely to act against several wealthy investors, for alleged manipulation of the stock exchange route for evading taxes. Sources said the market… – Continue reading
While CIBC FirstCaribbean and Heritage Bank are working to formalize the sale of assets, another offshore institution operating from Belize is yet to secure a correspondent bank. As we’ve reported previously, Bank of America has severed ties with Atlantic International Bank Limited as part of an ongoing de-risking exercise. The… – Continue reading
Ukraine’s President, Petro Poroshenko, has ratified three acts containing changes to tax law in the areas of transfer pricing, the obligations of taxpayers, and tax rules for non-profit organizations. The first, “On Amendments to the Tax Code of Ukraine Concerning Transfer Pricing,” increases the thresholds for companies’ transactions that will… – Continue reading
NASSAU, Bahamas — This past week, a bill to enact The Foreign Accounts Tax Compliance Act (FATCA) was passed in the Senate to ensure that The Bahamas continues to remain aligned with the most recent international financial standards. In an earlier debate within the House of Assembly Minister of Financial… – Continue reading
On August 10, 2015 the Dutch Government published the text of a Protocol amending the Agreement between the Government of the Kingdom of the Netherlands and the Government of the Republic of Indonesia for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on… – Continue reading
For the third year on the trot, Shell service stations generated billions of dollars and revenue but not a cent in company tax. In fact the owners of the sunny yellow servos reported tax benefits in all three years despite total sales which may be in excess of $60 billion…. – Continue reading
India follows common approach for implementation of FATCA and CRS New Delhi, Aug 8: The Finance Ministry has come up with the rules for information reporting under the Foreign Account Tax Compliance Act (FATCA), spelling out the timelines and the entities have to comply with the new requirements. The new… – Continue reading
Prime Minister Narendra Modi needs to offer much more than just his best intentions to clean up India’s whimsical tax regime to help convince insurers. Companies from Allianz SE to American International Group Inc. are avoiding offering tax-liability coverage in India’s cross-border mergers and acquisitions market because of a relatively… – Continue reading
On August 7, 2015 the OECD published a Common Reporting Standard Implementation Handbook (Hereafter: the Handbook). According to the introduction included in the Handbook, the purpose of the Handbook is to assist government officials in the implementation of the Standard for the Automatic Exchange of Financial Account Information in Tax… – Continue reading
The Stunning Altera Case Employee stock options are an important part of compensation—both as income to the executives and as a deduction for the employer. But when stock options are used by multinational companies, the tax implications are complex and sometimes baffling. A new Tax Court case has just given… – Continue reading
Australian Taxation Office New or updated materials on ATO website, including: Reminder: Taxable payments annual report due 28 August Remission of penalties: information about remission of penalties following a tax dispute In focus: Procurement hubs of Australian multinational enterprises: the ATO is reviewing arrangements involving offshore entities that are being used… – Continue reading
Britons in the US who have retained bank accounts at home are having to submit a raft of forms to satisfy the US Internal Revenue Service British expats living in America are being threatened with having their UK bank accounts shut down if they fail to comply with rigorous new… – Continue reading
The Organisation for Economic Co-Operation and Development (OECD) is likely to recommend that restrictions on interest deductibility should mainly involve a cap calculated as a percentage of EBITDA, an expert has said.07 Aug 2015 Corporate tax Tax International tax Energy Infrastructure However Heather Self of Pinsent Masons, the law firm… – Continue reading
In order to maintain a competitive edge, Malta offers wealthy individuals and corporations advantageous tax rates, using tax breaks to attract investment or hot money, which could originate from criminal activities Malta is this year expected to register the fastest growth rate in the EU, with property prices rising year… – Continue reading
Sebi has started cracking down on offshore units of major global banks for their suspected role in manipulation of share prices in the Indian stock market. Capital markets regulator Sebi has started cracking down on offshore units of major global banks for their suspected role in manipulation of share prices… – Continue reading
The UK will help Ghana clamp down on tax avoidance and evasion by sharing expertise to improve their tax system. The UK will work with the Government of Ghana to tackle tax evasion so the country can raise revenues and build stronger public services, International Development Secretary Justine Greening and… – Continue reading
Senate Republicans insist they’re deeply skeptical of Rep. Paul Ryan’s push for an agreement on international tax reform, but acknowledge a plan with bipartisan support would be hard to turn aside. With the Senate’s own highway bill is only funded for half of its six-year span, Republicans said this week… – Continue reading
Tax Administration Jamaica (TAJ) says it is finalising preparations with financial institutions to have Jamaica ready for the August 17 deadline when a US tax reporting law takes effect. Jamaica and the US signed an agreement in 2014 under America’s Foreign Accounts Tax Compliance Act (FATCA), which mandates the sharing… – Continue reading
On May 13, 2015, Cyprus and Georgia signed a new double taxation agreement (DTA). Unlike many former members of the USSR, Georgia did not adopt the 1982 Cyprus–USSR DTA when it became independent, and the new agreement is the first between the two countries. It will come into force once… – Continue reading
Shire, the giant pharmaceutical company that relocated its head office from the UK to Ireland for tax reasons a number of years ago has surprised investors by launching a US$30bn hostile bid to acquire the American company, Baxalta, which is also involved in the manufacture of drugs to combat rare… – Continue reading
Muscat – H E Christian Winter, Switzerland’s Ambassador to Oman has said that the recently signed Double Taxation Agreement (DTA) between his country and the sultanate reflects the broader ties Switzerland seeks with GCC. “The conclusion of the agreement takes into account the growing economic and political importance of 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
KUALA LUMPUR – As speculation intensifies that Malaysian Prime Minister Najib Razak is on the verge of sacking central bank governor Zeti Aziz, an expose on her family’s ‘dealings’ has been splashed online. Critics of the Prime Minister claim the article was sponsored by 1MDB figure Jho Low and his… – 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
Financial institutions and other reporting entities have been given a deadline date of August 15, 2015, as it relates to registration with the Barbados Revenue Authority (BRA), for sending key information required under the Foreign Account Tax Compliance Act (FATCA). Representing the Barbados Revenue Authority (BRA), Dava Leslie-Ward recently pointed… – Continue reading
MONTRÉAL, Aug. 5, 2015 /CNW Telbec/ – Three quarters of business leaders would pay more taxes in exchange for greater clarity from authorities on what is acceptable for tax planning, according to the Grant Thornton International Business Report (IBR), a global survey of 2,580 businesses in 35 economies. And while… – Continue reading
Tax evasion by Canadian companies using offshore havens promises to become election issue Canadian corporations that use tax havens like Switzerland and the Cayman Islands to reduce the taxes they pay at home have good reason to worry. The Canada Revenue Agency (CRA) has been stepping up its scrutiny of… – Continue reading
HMRC has won £45 million in a second tax avoidance case against Abbey National Treasury Services, a subsidiary of Santander. The tribunal ruling means £45 million is now liable to taxation in addition to another £40 million in a second case that will be decided by this ruling. The scheme… – Continue reading
Introduction The Cayman Islands have an extremely open, accountable and transparent government and regulatory system. Despite the dated stereotype, the Cayman Islands have promoted transparency regulations and initiatives for many years. In May 2000, the Cayman Islands made commitments to the Organisation for Economic Co-operation and Development (the “OECD“) to… – Continue reading
A “glimmer of hope” has emerged in the US for reform of the controversial Foreign Account Tax Compliance Act (Fatca), which has caused extensive financial headaches for millions of American foreign assignees and even prompted 7,000-plus expats to renounce their US citizenships. The post-crisis act, originally intended to expose details… – Continue reading
The recommendations of Justice AP Shah-led three-member committee on minimum alternative tax (MAT) has come in for big relief to foreign investors. The 64-page report, exclusively accessed by dna, says a foreign investor is not liable to pay MAT prior to April 1, 2015. The report, however, is silent on… – Continue reading
Germany has the largest economy in Europe. Along with the developed infrastructure, investors will also benefit from the advanced technology that will ease integration in many industrial sectors, and the highly specialized as well as educated workforce. In terms of the taxation of foreign investment, the taxation system in Germany… – Continue reading
THE South African Revenue Service (SARS) wants to be able to share disclosed financial information with countries with which it has multilateral exchange of information agreements. The ability to automatically exchange information with revenue authorities and with SA’s treaty partners would allow SARS to expand its tax base and help… – Continue reading
Tax Commissioner Pierre Moscovici has said that European Commission law was not breached in the case of a French professional association taxing royalty payments earned by UK musicians in France. In a written question to the European Commission, Julie Girling, a UK Member of the European Parliament (MEP), alleged that… – Continue reading
On 30 July 2015, Insurance Europe and the Pan European Insurance Forum jointly published a position paper. The paper summarises the views of the European insurance industry regarding the proposals of the Organisation for Economic Co-operation and Development (OECD) in its draft versions of its Action Plan on Base Erosion… – Continue reading
Business executives are giving mixed predictions on when and if tax reform will finally happen in Washington, in a new survey, reports Accountancy Today. The latest Business Tax Reform Barometer survey from the Tax Council and Ernst & Young polled approximately 1,000 business executives, tax directors, government relations representatives and… – Continue reading
Introduction 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… – Continue reading
Until 2009 Switzerland had the questionable reputation of being the ideal parking spot for all kinds of money. The USA action against the UBS was the start of a series of actions to change old practices. Being the world number one in offshore money management, inevitably resulted in Switzerland being… – Continue reading
Microsoft Corp.’s stockpile of offshore profits rose to $108 billion, with a 17 percent increase over the past year as the company continues reaping profits in low-tax foreign jurisdictions. The company crossed the $100 billion mark, making it just the second U.S. corporation — after General Electric Co. — to… – Continue reading
On May 20, 2015, the U.S. Treasury Department (“Treasury”) released five sets of proposed revisions to the U.S. Model Income Tax Convention (“Model Treaty”) for public comment. The Model Treaty was last updated in 2006. The purpose of the proposed revisions is to ensure that the United States maintains the… – Continue reading
