US CEOs United On Need for Tax Reform
An annual survey of the views of US Chief Executive Offices (CEOs) reveals that more than 80 percent of those asked are of the opinion that the international tax system must be restructured and around two thirds of those asked want a more
See MoreEstonia: Announces the corporate income tax rate
The government has announced its intention to reduce the corporate tax rate to 20% in
See MoreUK:HMRC challenged on VAT default surcharge
The victory of a newspaper group in a legal action against HMRC in relation to a large VAT penalty shows the importance of the proportionality principle of EU law. The large fine related to a late VAT return and the judgment illustrates that
See MoreUkraine Unveils IMF-Backed Fiscal Reforms
A raft of economic reforms has been published by Ukraine including some tax measures. Government revenue is to be increased by combating direct tax evasion and tightening the value added tax system to reduce the amount of avoidance and fraud. The
See MoreThailand may face VAT rate increase
The VAT rate in Thailand may need to be increased from 7 percent to 10 percent as the economic growth slows down. The 7 percent rate was intended as a temporary measure but has continued for some time. The measure had been extended by a government
See MoreSpain Adopts Stability Program Confirming Future Tax Reform
Spain is to publish its plans for reform of the individual income tax system in June 2014. The reform would aim to simplify the tax system to reduce the amount of compliance costs currently incurred by Spanish companies. The reforms are likely to
See MoreRomania’s Government approves tax exemption on reinvested profit
Under an emergency ordinance an exemption from tax on reinvested profits is to be put in place in July 2014 and remain until December 2015. The measure aims to increase the amount of company profits that are ploughed back into the business in the
See MoreVAT rate increases in Portugal
Among a range of austerity measures introduced in Portugal is a rise in the standard rate of VAT. The rate is to increase from 23% to 23.25%. This follows earlier rises in the rate in 2008 and 2011. The new measures also include an increase in
See MoreMexico Provides Oil Tax Reform Framework
A bill recently introduced by the government contains more detail of the new tax regime in respect of oil companies. This aims to encourage further exploration with the aim of increasing oil production in the future. The state oil and gas company
See MoreItaly – Reduced rates of IRAP regional tax
Decreto-Legge n 66/2014 which was published on 24 April 2014 reduces the rates of the regional tax on productive activities (IRAP). This amendment is awaiting ratification from parliament within 60 days but could be subject to further alterations
See MoreItaly Expands Employee Productivity Tax Incentive
Italy has extended into 2014 the reduced individual income tax rate for earnings from work arrangements that increase corporate productivity. This lower 10 percent rate was first introduced in 2008 and has been extended in the 2014 budget.
See MoreIreland Increases Carbon Tax Rates
With effect from May 1 2014 the solid fuel carbon tax is to be raised. This change will bring the tax up to a level that is equivalent to EUR20 (USD28) per tonne of CO2 emitted, in line with the tax payable in respect of other fossil fuels. This
See MoreHong Kong Reviews Efficacy of New Stamp Duties
The Legislative Council in Hong Kong recently requested information to enable it to assess the effect of tax changes that were brought in to ensure that the housing market did not overheat. These measures included the Special Stamp Duty (SSD)
See MoreCanada – Tax proposals in Ontario’s 2014 budget
Ontario’s 2014 budget proposals were announced on 1 May 2014. The measures proposed in the budget include a personal tax increase for individuals earning above CAD150,000; the phasing out of the small business deduction given to some larger
See MoreCanada – Foreign affiliate anti-avoidance rule and tax efficient financing
The Federal Court of Appeal has upheld the verdict of a lower Court that the foreign affiliate anti-avoidance rule does not lead to the loss of the tax deduction in respect of exempt surplus dividends received from a US affiliate using a tax
See MoreAustria Lowers Business Taxes in Federal Budget
The Austrian budget for 2014 aims to decrease the labor costs incurred by business and has also proposed the abolition of the capital transfer tax. Wage costs will be lowered by means of a decrease of 0.1 percent in the accident insurance
See MoreTransfer Pricing Brief: April 2014
Australia Tax assessment-The taxpayer should have a "reasonably argued position" on all transfer pricing issues to support the self-assessment return.Transfer pricing rule-TR 2014/D3 gives guidance on factors relevant for identifying the
See MoreAutomatic exchange of tax information between G5 and partners will begin in 2017
The finance ministers of the five largest economies of Europe committed last year to arrange for the automatic exchange of tax information between them. The ministers have now confirmed that the implementation of this project is to commence from
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