Japan: Publishes guidance under new transfer pricing documentation rules
Japan's national tax agency has released guidance concerning new transfer pricing documentation rules. The guidance released on 30 June 2016 and under Japan's 2016 tax reform, amendments were made to the Japanese transfer pricing documentation
See MoreSlovenia: Publishes R&D tax incentives guidance
The Financial Administration published the guidance on the application of research and development (R&D) tax incentives on 14 July 2016. According to the guidance, companies may claim a 100% corporate income tax base reduction for qualifying
See MoreOECD: Tax design for inclusive economic growth
On 20 July 2016 the OECD Centre for Tax Policy and Administration issued a taxation working paper entitled Tax Design for Inclusive Economic Growth. This looks at the design features of tax systems and looks at how they can be strengthened to allow
See MoreChile: IRS publishes final instructions on 2014 Tax Reform and 2015 Simplification Law
The Internal Revenue Service (IRS) of Chile has published the last set of Circulars (Circular no. 40, 41, 42, 44, 48 and 49) along with instructions on the amendments introduced by the 2015 Simplification Law (Law 20,899) on 13th and 14th July 2016.
See MoreRomania: Government approves a supplementary deduction of 50% of R&D for corporate taxpayers
The Romanian Government published an Official Gazette order approving the norms on the supplementary deduction for research and development (R&D) expenses on 13 July 2016. Under the provisions of the Tax Code, a supplementary deduction of 50%
See MoreLuxembourg: Government passed the tax reform plans for 2017
The government of Luxembourg adopted tax reform plans for the year 2017 on 13 July 2016. The proposed changes are in line with the announcements made during the State of the Nation address on April 26, 2016. The changes announced for corporations
See MoreOECD: Review of Italy’s tax administration
The OECD Centre for Tax Policy and Administration has carried out a review of the organizational structure and institutional arrangements of the Italian tax administration including the Revenue Agency and the Customs Agency. The review which was
See MoreTaiwan : Implements CFC, place of effective management concepts
Taiwan’s Legislative Yuan amended the Income Tax Act (ITA) on 12 July 2016, and introduced the controlled foreign company (CFC) rules, incorporating some of the recommendations provided in the Organization for Economic Co-operation and
See MoreSingapore: Publishes E-Tax Guide on General anti-avoidance rule
The Inland Revenue Authority of Singapore (IRAS) issued an e-Tax Guide (the Guide) on 11 July 2016, clarifying the general anti-avoidance rule and its application. IRAS issues the Guide with the following purposes: -To explain IRAS's approach to
See MoreSouth Africa: National Treasury released explanatory memoranda on proposed changes to tax laws
The National Treasury released the Explanatory Memorandum and the Memorandum on Objects (the Memoranda) on the proposed amendments contained in the draft Taxation Laws Amendment Bill (TLAB) 2016 and the Tax Administration Laws Amendment Bill
See MoreOECD: Design and operation of the group ratio rule in BEPS action 4
On 11 July 2016 the OECD released a discussion draft on the operation of the group ratio rule under Action 4 of the project on base erosion and profit shifting (BEPS). Comments are invited from interested parties by 16 August 2016. The BEPS report
See MoreIMF report comments on Philippines economy
On 13 July 2016 the IMF published a report following the conclusion of talks with the Philippines under Article IV of the IMF’s articles of agreement. After slowing down in mid-2015 the Philippines economy grew at an annual rate of 6.9% in the
See MoreIMF report comments on Peru’s fiscal policy
On 15 July 2016 the IMF published a report following the conclusion of talks with Peru under Article IV of the IMF’s articles of agreement. Peru’s economy has weathered the economic crisis and has become the largest growing in the South America
See MoreUK: Research report on intermediaries legislation
On 12 July 2016 HMRC published the results of research undertaken to understand the implications for employers and engagers if they are given responsibility for operating the intermediaries legislation. The intermediaries legislation combats tax
See MoreGreece: A draft bill submitted to parliament
A draft bill was submitted to the parliament on 13th July 2016 for amending unified property tax, Procedural Tax Code and transfer pricing legislation. In accordance with the draft bill, the General Secretary of Public Revenue may discharge very
See MoreIMF report comments on the economic position of Italy
On 6 July 2016 the IMF released a staff report following consultations with Italy under Article IV of the IMF’s articles of agreement. Italy’s economy is recovering from a deep recession and growth was 0.8% in 2015 with continued expansion in
See MoreTurkey: Draft General Communiqué on CIT Law issued
The Revenue Administration has submitted a draft General Communiqué No. 10 on 30th June 2016 regarding Corporate Tax Law (Law No. 5520) to the Prime Minister for publication in the Official Gazette. This draft addresses the changes of General
See MoreIsrael: Announcement of corporate tax rate cut
On 19th of July 2016, the government and finance minister of Israel declared that the corporate income tax rate will be reduced by 2% in the next two years. Currently, the corporate income tax rate is 25%. As per declaration, the rate will be 24% in
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