PGA Highlights: June 2016

27 June, 2016

In the United States the following events have taken place under the several PGA during the month of June 2016. Agencies Summary Federal Register Application to use the Automated Commercial Environment: The U.S. Customs and Border Protection

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Tax Treaty News: June 2016

26 June, 2016

Finland and Uzbekistan On 3 July 2016, the amending protocol of income tax treaty between Finland and Uzbekistan will enter into force that was signed on 8 March 2016. This protocol will apply from 3 July 2016 for matters relating to exchange of

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UK: Customs Information Paper on Exit from the EU

25 June, 2016

HMRC has issued Customs Information Paper 42 (2016) in relation to the referendum vote to leave the European Union (EU). The paper clarifies that there will be no immediate change to the movement of goods in or out of the UK. Until Article 50

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Belgian Government approved new draft legislation to implement TP documentation and CbC reporting requirements

25 June, 2016

The Government of Belgium has approved new draft legislation to effectively implement CbC reporting and introduce formal transfer pricing documentation requirements in Belgium. The draft legislation is according to 3 tiered approach of Action 13 of

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Spain: Compulsory e-filing for large companies

23 June, 2016

Recently the Spanish government has issued an order addressing several tax filing obligations. Large Companies will have to file tax documents such as returns, declarations or reimbursement requests electronically as from 1 July 2016. The order was

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Luxembourg: explanations regarding modifications to Net worth tax 2016

22 June, 2016

The Luxembourg administration for direct taxes published Circular which provides explanations regarding the 2016 changes of the Net worth tax (NWT), on 16 June 2016. A reduced rate of 0.05% applies for taxable net worth above EUR 500 million from 1

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EU agrees on draft Directive on anti-avoidance

21 June, 2016

On 21 June 2016 the EU’s Economic and Financial Affairs Council reached agreement on a draft Directive on tax avoidance practices following expiry of the required period for further issues to be raised. The draft Directive will be presented for

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Pakistan: Publishes Budget for 2016/17

21 June, 2016

The Minister of Finance has published the tax proposals on 3 June 2016 in the Finance Bill 2016 as part of the annual budget for fiscal year 2016/17. The main details of the Budget on income taxes are summarized below: The following measures

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IMF report discusses economic policy in Japan

20 June, 2016

On 20 June 2016 the IMF issued a concluding report following the conclusion of discussions with Japan under Article IV of the IMF’s articles of agreement. Japan’s economy is expected to grow at around 0.5% in 2016 but slow to 0.3% in 2017. The

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Bangladesh: Finance Minister Confirms New VAT Regime from July 1

20 June, 2016

Bangladesh intends to proceed with introducing a uniform 15% rate of value-added tax (VAT) from July 1.  The change is to be stimulated together with the implementation of Bangladesh's new value-added tax law, drawn up in 2012. Speaking at a recent

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Japan: The penalty for failure to submit the CbC report or the Master File by the due date

20 June, 2016

Japan’s 2016 tax reform was enacted on 29 March 2016 and at the end of April 2016, the National Tax Agency posted guidance on its website to help clarify the documentation requirements within Japan. The tax reform also implements penalties for a

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Singapore:  Commits to implement CbCR for financial years beginning on or after 1 January 2017

20 June, 2016

The Ministry of Finance announced on 16 June 2016, that Singapore will join the inclusive framework for the global implementation of the Base erosion and profit shifting (BEPS) Project. Under this framework, all state-and non-state jurisdictions

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EU Finance Ministers reach preliminary agreement on tax avoidance proposals

19 June, 2016

It is reported that on 17 June 2016 the EU finance ministers reached preliminary agreement on a modified version of the European Commission’s proposals on countering tax avoidance originally released at the beginning of 2016. Original

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IMF report comments on the economic position of Latvia

17 June, 2016

On 16 June 2016 the IMF published on its website a staff report following the conclusion of discussions with Latvia under Article IV of the IMF’s articles of agreement. Growth increased to 2.7% in 2015 and investment grew at 2.1% following a

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OECD Council approves BEPS amendments to the Transfer Pricing Guidelines

16 June, 2016

On 23 May 2016 the OECD Council gave its approval to the amendments to the transfer pricing guidelines recommended in the final report of the project on base erosion and profit shifting (BEPS). The amendments were contained in the final report on

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Tanzania issues Finance Bill, 2016

16 June, 2016

Tanzania’s Finance Bill 2016 was made publicly available on 13th June 2016. This follows presentation of the 2016/17 budget by the Finance Ministry on 8th June 2016. This covers the Finance Bill, 2016 which contains numerous proposed changes in

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IMF report comments on economic and fiscal policy of Sri Lanka

15 June, 2016

On 14 June 2016 the IMF issued a report following the completion of consultations with Sri Lanka under Article IV of the IMF’s articles of agreement. GDP growth was 4.8% in 2015, generally unchanged from 2014. The economy is however facing an

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Vietnam increases penalty for tax fraud and evasion

15 June, 2016

The General Department of Taxation announced on 6 June 2016, an increase in the maximum penalty that may be imposed for tax fraud and evasion to VND 50 million. Further it announced an increase in the fines for lost or damaged tax invoices

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