UK Court of Appeal rules on payment of corporation tax on VAT repayments
In a case concerning an online retail group in the UK the Court of Appeal has determined that the taxpayer must pay corporation tax in respect of VAT repayments received. The consequence of this victory for the tax authority is that many taxpayers
See MoreSpain – New tax measures for corporate debt refinancing and restructuring
Royal Decree Law 4/2014 which is effective from 9 March 2014 contains provisions in respect of corporate debt restructuring. Among the issues covered in the law are the treatment for tax purposes of capital increases through the capitalization of
See MorePhilippines Legislates To Cut Back Income Tax Relief
In the Philippines there is some concern in the Department of Finance (DOF) that tax relief is being granted to applicants without sufficient consideration of their entitlement. The Department is therefore keen for legislation to be passed to
See MoreSouth Korea to Rein In Tax Relief to Fund Welfare Reform
Under the Framework Plan for Tax Expenditures for the year 2014 South Korea is committed to amending the system of tax relief. This could result in the abolition of some tax incentives and taxpayers need to keep a close eye on developments as they
See MoreUnited Kingdom – Conservatives keen to ease IHT
The UK Prime Minister has confirmed that his party still holds the view that the inheritance tax threshold should be raised to GBP 1 million, and that this is likely to be addressed in the party’s manifesto for the next election which is to take
See MoreSouth Africa – tax guide for 2014 / 2015
South Africa has prepared a “tax guide” that includes, among other discussions, an analysis of tax changes for individual and corporate taxpayers, as presented in the 2014 budget speech (February 2014). The tax guide also focuses on the effects
See MoreSingapore – 2014 budget analysis published
Following the Singapore’s 2014 budget statement (presented 21 February 2014), Singapore has prepared an analysis of changes and initiatives in the 2014 budget. This will help taxpayers to digest the changes announced in the budget and allow them
See MoreCanada: No tax rate changes in 2014 budget
In Canada the 2014 budget for Saskatchewan was published on 19 March 2014. There is no increase in the general rate of corporate or individual tax but the dividend tax credit rate in the province is to increase. There would also be a reduction in
See MoreRussia Plans Crimean Special Economic Zone
Russia has confirmed that the process of making the Crimea a part of Russia is likely to require amendments to the tax system and this may involve the provision of temporary tax incentives for companies located in the Crimea. Other changes would
See MoreSouth Korea – Seeks Tax from Gold Trading
South Korea is launching the first spot market for gold, in an effort to eliminate underground transactions in gold and boost revenue from tax. The spot market is open to any qualified gold dealer such as an importer or a wholesale or retail
See MoreUS – Tax Foundation Says IRS Mandate Should Shrink
The Tax Foundation (TF) in the US has recently recommended that, as the primary function of the Internal Revenue Service should be to collect tax revenue, it would be best to move the functions of refundable tax credits outside the tax code and
See MoreUS Committee Considers Middle Class Tax Burden
In the US the Senate Finance Committee has been considering policy initiatives that could help to support and expand the middle class. These measures could include improvements to the education system, initiatives to increase the level of savings
See MoreUK Budget announcements 2014
The UK budget announcements on 19 March 2014 include a significant change to the pension regime. Currently, most people must invest their pension fund in annuity after receiving a certain percentage of the fund as a lump sum tax free payment.
See MoreUganda – Tax collection shortfall linked to corporation taxes
Uganda has reported a deficit in tax collection for the half year of 2013/2014. This deficit appears to result from problems in the tax administration’s tax collection methodology and the main cause of the problem is attributable to corporation
See MoreThailand: Tax Revenue deficit
Ongoing political unrest in Thailand could lead to a fall in tax collection and missed targets, according to the Fiscal Policy Office. Collections in the opening months of 2014 have however risen a little above the predicted amounts. The Fiscal
See MoreSwiss Parliament Passes Media Tax
Switzerland has introduced a new media tax which replaces the license fee previously charged in respect of radio and television. This is charged on large companies and households whose annual income or turnover exceeds EUR 500,000. The introduction
See MoreSpain: Spanish Experts Call For Huge Direct Tax Cut
A report from the Experts Committee on Tax Reform recently submitted to the Finance Minister has recommended that there should be reductions in direct taxes and in the social security contributions. These would be paid for partly by increases in
See MoreSingapore: Income tax treatment of limited partnerships
The Inland Revenue Authority of Singapore (IRAS) has published an e-tax guide outlining the tax treatment of limited partnerships (LPs). An LP is a partnership that does not have a separate legal personality. It must have at least one general
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