Algeria | Submission of returns: Due to the COVID-19 pandemic, the Government provides policy measures for small business and SMEs. The subscription deadline for the annual results declaration (balance sheet and appendices) is extended until 30 June 2020. Due dates main corporate income tax: Accordingly, the deadline for paying the first installment of global income tax and corporation tax is extended to 20 June 2020. See the story in Regfollower |
Argentina | Filing return: On 26 August 2020, the Federal Administration of Public Revenue (AFIP) published a Law, which amends the tax regularization scheme and made this available for all taxpayers amid COVID-19 pandemic. By this scheme, the deadline to complete federal taxes is extended from 30 November 2019 to 31 July 2020. Advance payments due: Under the scheme, payments may be made in up to 60, 96, or 120 monthly installments, depending on the tax type and the type of taxpayer. See the story in Regfollower |
Chile | Incentives-Industry/manufacturing: On 2 September 2020, the Government officially released a new Law in response to the COVID-19 pandemic. The Law allows immediate tax amortization of 100% of intangibles acquired from 1 June 2020 to 31 December 2022, for corporate income tax purposes, as well as intangible assets acquired for the interest, development or maintenance of a business. Reduced rates: The new Law provides a temporary reduction in the corporate tax rate for SMEs under the Pro Pyme regime from 25% to 10% for the fiscal years 2020, 2021, and 2022. See the story in Regfollower |
Costa Rica | Industry/manufacturing: On 17 September 2020, the Ministry of Finance has announced a plan to overcome fiscal impact of the COVID-19 pandemic. Accordingly, the plan includes a reduction in social security contributions for companies by at least 5% over 4 years. It also includes a tax on banking and securities transactions for a period four years,which is to be imposed at a rate of 0.3% for the first two years, followed by a reduction in the rate to 0.2%. See the story in Regfollower Compensation for overpaid tax and refunds: On 16 September 2020, the Ministry of Finance has published a Resolution reducing the interest rate on late tax payments and overpayment refunds from 12.2 percent to 10.5 percent. See the story in Regfollower |
Cyprus | Filing return: On 20 August 2020, Cyprus has published the Assessment and Collection of Taxes (amendments) Law in the Official Gazette. Accordingly, the deadline for company income tax returns (TD4) is set at 31 March of the second year following the tax year. Taxpayers also required to submit returns by 31 March of the second year following the tax year are required to pay the tax due by 1 August of the year following the tax year. See the story in regfollower |
Denmark | Special corporate tax rates: On 31 August 2020, the Government presented the draft Budget 2021 to the Parliament. The Finance Bill introduced a special corporate income tax rate for the financial sector. It also postponed the planned increases of the chocolate tax, consumption tax, and coffee tax. See the story in regfollower |
Hong Kong | Filing return: On 9 September 2020, the Inland Revenue Department of Hong Kong has published a Circular Letter to Tax Representatives extending the deadline for filing Profits Tax returns. See the story in Regfollower |
Indonesia | Industry/manufacturing: On 22 August 2020, the Indonesian Directorate General of Taxation has published Regulation regarding tax incentives for certain taxpayers in industrial sectors affected by the corona virus pandemic. The regulations increased the reduction of monthly corporate tax payments from a 30% reduction to a 50% reduction for qualifying taxpayers with effect from July 2020 to December 2020. See the story in Regfollower |
Malta | Industry/manufacturing: On 25 August 2020, Malta has issued Legal Notice No. 345, which clarifies Regulations on research and development (R&D) tax credits for corporate income tax in response to the COVID-19 pandemic. See the story in Regfollower |
Mexico | GAAR: On 8 September 2020, the Mexican Executive Branch has submits an economic proposal to Congress. The law proposed that the Mexican General Anti-Avoidance Rule (GAAR) be amended to expand the scope of the criminal consequences of sham transactions. Interest received-Banks: It also proposed to reduce the withholding income tax rate applicable to interest payments made by financial institutions from 1.45% to 0.97% from 2021. See the story in Regfollower |
Netherlands | Reduced rates: On 15 September 2020, the Dutch Government published the budget proposals for fiscal year 2021. Accordingly, from 2021, the lower CIT rate will fall from 16.5% to 15%. Incentives-Others: A new investment tax credit will be introduced in 2021 to encourage businesses to invest. Businesses that make an investment, such as the purchase of a new machine or commercial vehicle, will pay less salaries tax and national insurance contributions. See the story in Regfollower |
Oman | Filing return: On 14 September 2020, Oman’s Sultan amended various provisions of the Income Tax Act (ITL). According to the amendment, for tax years beginning on or after 1 January 2020, the procedure for filing both provisional and definitive income tax returns will be replaced by the procedure for filing a single tax return within four months of the end of the accounting period. Residence rules: The amendment introduced a new concept of tax residency rule. See the story in Regfollower |
Pakistan | Filing return: On 30 September 2020, the Federal Board of Revenue (FBR) has declared the extended date for filing income tax returns. The companies who were required to file statements of final taxation for the tax Year 2020 which were due on 30 September 2020, but failed to file their statements, is allowed to file their return by 8 December 2020. See the story in Regfollower |
Poland | Reduced rates: On 16 September 2020, the Polish Council of Ministers published a draft bill amending the corporate income tax (CIT) rules, which will come into force on 1 January 2021. The bill includes an increase in the income threshold for “small taxpayers” who benefit from the lower 9% CIT rate from € 1.2 million to € 2 million. See the story in Regfollower |
Sri Lanka | Due dates main corporate income tax: The Inland Revenue Department (IRD) has issued a notice of final income tax payment by 30 September 2020 for the 2019-20 assessment year. See the story in Regfollower |
Sweden | Industry/manufacturing: On 21 September 2020, the Government has submitted the Budget Bill for 2021 to the Riksdag (the national legislature and the supreme decision-making body of Sweden). The Budget proposes a temporary tax reduction of 3.9% of the acquisition value of machinery and equipment acquired in 2021 should be introduced for companies and sole traders. The proposal shall enter into force on 1 January 2022. See the story in Regfollower |
Taiwan | Filing return: On 31 August 2020, Taiwan’s National Taxation Bureau of the Central Area has issued a press release prescribing that profit-seeking enterprises should file annual income tax returns within the prescribed period to avoid delinquent reporting surcharges. See the story in Regfollower |
Thailand | Filing return: On 14 September 2020, the Thai tax authorities proposed to unlisted companies to file a corporation tax return for six months for the 2020 tax year. The deadline was 31 August 2020 but has been extended to September 30, 2020 and the electronic submission system recommended. See the story in Regfollower |
Ukraine | Treatment of losses-Carry forward: On 15 September 2020, the Ukrainian Parliament has accepted a draft bill introducing provisions on loss carry forwards. The provision for loss carry forwards would allow taxpayers to carry losses back for up to 5 years. Mitigation of penalties: The Bill also provides an exemption from penalties for tax debts that arose as of 1 March 2020, and remained unpaid as of 1 September 2020, provided that full payment is made within 6 months. See the story in Regfollower |
Uruguay | Advance payments due: The Directorate General of Taxation of Uruguay has announced a resolution concerning additional advance payment deadline extensions in response to the Covid-19 pandemic. See the story in Regfollower |
Venezuela | Incentives-Small business: On 26 August 2020, the Government has approved a relief measures for small businesses in response to the COVID-19 pandemic. Accordingly, new small businesses formed during the pandemic and up to three months after are granted an exemption from income tax until 31 December 2020. See the story in Regfollower |
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