Nigeria imposes levy on electronic money transfers
Nigeria's Federal Inland Revenue Service (FIRS) will implement an electronic money transfer levy of NGN 50 on transfers of NGN 10,000 and above, starting 9 September 2024. Introduced in the Finance Act 2020 and regulated in late 2021, the levy
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Brazil considering tax hike without legislative approval
Brazil's government is considering tax increases that can be enacted without congressional approval to address this year's budget deficit, according to two reports from the finance ministry received on 6 September 2024. Officials have indicated
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Brazil to increase income tax on banks
Brazil's government introduced a bill to Congress to raise revenue through increased income taxes, mainly targeting banks with a significant tax rate hike, on Friday, 30 August 2024. The proposed legislation seeks to adjust the social
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Italy dismisses speculations of imposing new taxes on bank profits
Giancarlo Giorgetti, Economy Minister, Italy, said that the government has no plans to introduce new additional taxes on profits on banks and other companies on Wednesday, 7 August, 2024. In August 2023, there was an unprecedented disposal of
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Nigeria passes 70% windfall tax on bank foreign exchange profits
Nigeria’s Senate passed the Finance (Amendment) Bill 2024 on 25 July 2024, which introduces a windfall tax on bank profits from foreign exchange transactions for the 2023 fiscal year. The newly sanctioned windfall tax is set at 70% on foreign
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Venezuela implements 0% tax on select large financial transactions
Venezuela published Decree 4972 in the Official Gazette on 12 July, 2024, which reduces the tax rate to 0% from 2% for large financial transactions. The 0% tax rate applies to specific transactions which are mentioned in paragraphs one to four
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Nigeria proposes windfall tax on banks’ foreign exchange profits
Nigeria’s National Assembly has raised the windfall tax on banks' foreign exchange (FX) gains to 70%, up from the initially proposed 50%. The increase is part of Nigeria’s revised Finance Act of 2024. Nigerian President Bola Tinubu signed the
See MoreIMF Issues Report on the Economic Situation of Lithuania
On 24 July 2024 the IMF issued a report following discussions with Lithuania under Article IV of the IMF’s articles of agreement. The Lithuanian economy has begun a recovery with lower inflation reflecting lower commodity prices, tighter
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Hungary raises financial transaction tax
Hungary has raised the financial transaction tax (FTT) from 0.3% to 0.45% with the maximum tax per payment transaction increasing from HUF 10,000 to HUF 20,000. The FTT rate on cash withdrawals has increased from 0.6% to 0.9%. The new FTT at a
See MoreIMF: Bank profits and bank taxes in the EU
An IMF working paper published on 9 July 2024, written by Maneely Morgan and Lev Ratnovski, looks at the various new taxes on banks introduced by EU countries. The paper notes that since 2022 banks in the EU have been making high profits. These
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Netherlands reconsidering 2024 tax plan amendments including stock buyback and bank tax changes
On 5 April 2024, the Dutch Ministry of Finance released a letter to the Senate outlining the decision to retract specific policies previously approved under the 2024 Tax Plan. The measures include: From 1 January 2024, the 30% ruling regime
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Israel: Finance committee approves additional tax on financial institutions
On 4 March 2024, the Finance Committee of Israel’s parliament (Knesset) passed a measure to impose a 6% tax on financial institutions holding assets equivalent to at least 5% of the total assets held by Israeli banks. This additional tax will be
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Ireland releases feedback of public consultation on bank levy
On 15 February 2024, Ireland's Department of Finance released the responses to its public consultation on the future of the bank levy. The "Further levy on certain financial institutions," more commonly known as the "Bank Levy" (the Levy), was
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Israel to raise bank taxes to 26% in 2024 and 2025
On 15 January 2024, Israel's Ministry of Finance proposed to increase the tax rate on bank profits from 17% to 26% in both 2024 and 2025. At present, banks and other financial institutions pay a 17% VAT-equivalent tax on their total payroll and
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Spain approves extension of windfall taxes on banks and reduced VAT rates
On 11 January 2024, the Spanish Government issued a press release announcing the approval of the Royal Decree-Law. The Royal Decree-Law was approved by the Spanish Council of Ministers on 27 December 2023. This Decree extends specific measures to
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Ukraine provides clarification on windfall tax for banks
On 23 December 2023, the State Tax Service of Ukraine released Newsletter No. 6/2023, which provides clarification on the implementation of the windfall tax on banks per Law 3474-IX. This legislation introduced a tax rate of 50% on bank profits for
See MoreWorld Bank: Taxation of the Digital Sector
On 1 October 2021 the Third World Bank Tax Conference discussed the taxation of the digital sector. Value added tax collection The growth of the digital economy has changed business models and has presented new problems for tax assessment and
See MoreUK: Annual Report of Code of Practice on Taxation of Banks
On 19 December 2018 the annual report of the Code of Practice on Taxation for Banks was published. The Code was first introduced in 2009 with the objective of changing the behaviour of the banks in relation to tax avoidance. The banks occupy a
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