Costa Rica: Government proposes new tax measures
On 28 February 2018, the Budget bill 2018 was sent to the Assembly proposing to replace the existing sales tax with a value added tax (VAT). It also amends the Income Tax Act by introducing a new capital gains tax, tax neutrality for certain
See MoreDominican Republic: DGII publishes guidance on the tax on the transfer of industrialized goods and services
The Directorate General of Internal Revenue (DGII) published guidance on the tax on the transfer of industrialized goods and services (ITBIS) on 31 January 2018. The Tax on ITBIS is a general tax on consumption type value aggregate that applies to
See MoreTurkey: Draft Law 3065 amends VAT law
The Finance Minister, Naci Ağbal, has stated that a draft law, number 3065, revised the value-added tax (VAT) law and then it has been sent to parliament. The objective of the new draft bill is to support investments, production activities and
See MoreCanada: CRA tightens its GST/HST Voluntary Disclosure Program
The Government is committed to cracking down on tax evasion and aggressive tax avoidance to ensure a system that is responsive and fair for all Canadians. A revised Voluntary Disclosures Program (VDP) came into effect form March 1, 2018, to narrow
See MoreTurkey: Decree publishes that amends investment incentive rules
The Government has published Decree No. 2018/11297 on February 22, 2018, in the Official Gazette. It has already come into force on the similar day. This decree changes the provincial or regional incentives rules. With the help of this amendment,
See MoreIndia: CBDT signs seven more unilateral APAs
On 1 March 2018, the Ministry of Finance issued a press release announcing that Central Board of Direct Taxes (CBDT) had signed seven further Advance Pricing Agreements (APAs) in February 2018. All seven are unilateral APAs covering the
See MoreRussia: MOF clarifies the application of the 0% rate to dividends
In March 2018, the Ministry of Finance (MoF) clarified the application of the 0% (CIT) rate to dividends received by a company in reorganization. According to article 284(3.1) of the Tax Code, a tax rate of 0% is applied to dividends received by a
See MoreTransfer Pricing Brief: February 2018
Malaysia: APAs-Fees: In December 2017, APA rules 2012 was amended by inserting a new Rule 23 which allows the MIRB to charge an application fee and any expenses as the Director General may determine in the course of the APA application. The APA
See MoreWorld Tax Brief: February 2018
India Main corporate tax rate: The Finance Minister of India presented the Union Budget 2018-19 on 1 February 2018. Accordingly, a reduced corporate income tax rate of 25% will be applied to Indian companies with gross receipts not exceeding INR
See MoreSingapore: Published Country-by-Country Reporting regulations
The Government of Singapore published Country-by-Country Reporting in the Singapore Government Gazette the “Income Tax Regulations 2018” on 5 February under the Income Tax Act (ITA). Country-by-Country reporting application and
See MoreKorea: Government Postponed Reduced Exemption Threshold for Withholding of Capital Gains Tax
Korea decides against lowering ownership threshold for withholding of capital gains tax for foreign investors. Under the rule, if a foreign investor together with its related parties owns less than 25% stake in a locally listed company, capital
See MoreFrance: Publishes new corporate taxation measures
The Ministry of the Economy and Finances published a summary of the main measures introduced by the Finance Law 2018 and the Social Security Finance Law 2018 regarding corporate taxation on 19 February 2018. These measures generally apply from 1
See MoreItaly: Draft transfer pricing regulations and corresponding adjustments
On February 21, 2018 the Italian Ministry of Economy and Finance released its draft transfer pricing rules to comply with the Article 8-10 OECD/G20 Base Erosion and Profit Shifting (BEPS) project. The draft rules are declared in their website for
See MoreUS: IRS files pre-trial memorandum against Coca Cola in transfer pricing dispute
On 15 February 2018 the IRS filed a pre-trial memorandum against The Coca Cola Company on the grounds that the transfer pricing methods used by Coca Cola were not in compliance with the arm’s length standard under section 482. The case relates to
See MoreIMF: Fiscal Management of Mining and Petroleum in West Africa
On 27 February 2018 the IMF Deputy Managing Director addressed relevant issues at the opening of the Conference on Fiscal Management of Mining and Petroleum in West Africa. The possession of natural resources has often not helped to achieve better
See MoreOECD: Project to examine differences between Brazil’s transfer pricing rules and the Guidelines
On 28 February 2018 the OECD and Brazil began a joint project to examine the similarities and gaps in approaches to valuation of cross-border transactions. The project aims to produce an assessment of possibilities to bring the transfer pricing
See MoreItaly: Real-time e-invoices
Mandatory real-time electronic sales invoice reporting has been introduced by the Italian Revenue Agency. The process will be effective from 1 January 2019. The Italian Revenue Agency named it Sistema di Interscambio (SDI) and according to them all
See MoreIndia: Sugar import duty doubled to 100%
On February 6, 2018, the central government doubled the import duty on raw and refined sugar to 100% and raised duty on chana (chickpeas) to 40% to protect domestic farmers. At present, customs duty or import tax on sugar is 50% and that on chana is
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