UK: Changes to IR35 Rules
On 27 February 2020 HM Treasury confirmed that the planned changes to the IR35 rules will be implemented from 6 April 2020. The IR35 off-payroll labour rules were introduced in response to perceived tax avoidance by individuals providing services
See MoreOECD: Guidance and IT Tools released to support the TRACE system
On 25 February 2020 the OECD issued guidance on the the technical implementation of the TRACE initiative (Treaty Relief and Compliance Enhancement), together with the relevant IT formats. The TRACE system permits claims to be made in relation to
See MoreNorway issues a public consultation paper proposing WHT on interest, royalty payments
On 27 February 2020, the Norwegian Ministry of Finance published a public consultation paper proposing to introduce a withholding tax system for interest and royalty payments to related parties. The proposal aims to levy a 15% withholding tax
See MoreNorway issues public consultation for regarding the introduction of WHT on interest and royalties
On 27 February 2020, the Norwegian Ministry of Finance issued a public consultation paper introducing the withholding tax (WHT) on interest, royalty and certain lease payments to controlled parties. The withholding tax on interest payments
See MoreNamibia introduces a bill to repeal tax incentives for manufacturing and export processing zones
On 19 February 2020, the Minister of Finance tabled the first income tax amendment bill of 2020 in Parliament that repeals the tax incentives applicable to registered manufacturers and export processing zones (“EPZ”). For manufacturers, this
See MoreLatvia: MLI enters into force
On 28 February 2020, OECD has published the update list of signatories and parties to the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (MLI). Accordingly, MLI entered into force for
See MoreHong Kong: Financial Secretary presents the budget for 2020/21
On 26 February 2020, the Financial Secretary Paul Chan Mo-po announced the 2020/21 budget outlining the Hong Kong SAR Government’s plan for the economy and proposals for taxation developments. He proposed the following tax concessionary measures,
See MoreIceland: The Ministry of Finance and Economy presents a draft law on TPD penalties to Parliament
On 18 February 2020, the Ministry of Finance and Economy submitted a draft bill to the parliament regarding new penalties for failing to comply with transfer pricing documentation requirements. The draft law also includes an amendment to clarify
See MoreArgentina: Government publishes General Resolution regarding TP returns deadline delay
On 29 February 2020, Government published General Resolution 4680/2020 of 28 February 2020 regarding the delayed due dates of submitting transfer pricing (TP) return in the Official Gazette. The filing deadline for the TP return forms (i.e. Form F.
See MoreSouth Africa: Finance Minister delivers draft Budget for 2020-2021
On 26 February 2020, the Finance Minister, Tito Mboweni, delivered National Budget for the year 2020-2021. Some provisions of budget 2020-2021 include: Corporate income tax The standard corporate income tax rate was proposed to remain
See MoreNigeria: Tax Appeal Tribunal makes a decision on a transfer pricing case
On 19 February 2020, the Tax Appeal Tribunal made a decision regarding a transfer pricing case, entitled “Prime Plastichem Nigeria Limited v Federal Inland Revenue Service (FIRS), in favour of the FIRS on all the issues raised for determination
See MoreChile: Government publishes Tax Reform Law
On 24 February 2020, Government published Law No. 21.210 in the Official Gazette and effects as from 1 January 2020. This Law was approved by the Senate on 29 January 2020. The tax reform Law includes: Corporate income tax The Law includes a
See MoreSpain: Cabinet approves a draft bill for digital services tax (DST)
On 18 February 2020, the Spanish Cabinet reportedly approved a draft bill for the introduction of a digital services tax (DST). A 3% DST will be applicable for large companies whose respective groups have revenue of at least EUR 750 million
See MoreNigeria: FIRS issues a public notice regarding tax payment deadlines
On 21 February 2020, the Federal Inland Revenue Service (FIRS) issued a public notice, which states the deadlines for tax payment under the Finance Act 2019. According to the notice, the FIRS notified the general public, companies, and taxpayers
See MoreHungary plans to improve research and development tax reliefs
Following a meeting of the National Competitiveness Council, the Hungarian Ministry of Finance recently announced that the Government is planning further tax cuts for companies, including improvements in the deductions available for research and
See MoreLatvia implements EU ATAD hybrid mismatch measures
On 11 February 2020, Latvia published the Law of 30 January 2020 on Amendments to the Corporate Income Tax Act in the official gazette. The law includes the provision for the implementation of the hybrid mismatch measures of the EU Anti-Tax
See MoreEstonia implements EU ATAD 2 from 1 January 2020
Estonia has implemented the EU Anti-Tax Avoidance Directive (2017/952) (ATAD 2). ATAD 2 amends the EU Directive 2016/1164 which extends the scope of the Hybrid Mismatches Rules to a wider range of transactions and also to apply to transactions with
See MoreTurkey: Revenue Administration issues decree on transfer pricing documentation
On 25 February 2020, the Turkish Revenue Administration has published Presidential Decree No. 2151 in the official gazette, which amends transfer pricing documentation rules. The decree aims to set out OECD’s Base Erosion and Profit Shifting
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