Norway: Regulations regarding exemptions to the interest
On 24 April 2014, Norway’s Ministry of Finance issued regulations regarding exemptions to the interest deduction limitation rules. Under regulations issued in April 2014 certain securities transactions are exempt from the interest restriction
See MorePortugal’s Socialist Party Would Restore Hospitality Reduced Rate
Portugal's Opposition Socialist Party (PS) leader, has promised to return the value-added tax (VAT) rate on the restaurant and catering industry to the lower rate of 13 percent if it wins the elections due to be held in 2015. The tariff was
See MoreMexico – Details of hydrocarbon tax in energy reform proposals
Mexico has announced proposals that would change the rules in respect of the taxation of amounts relating to hydrocarbon exploration and extraction. The rules would take effect from 1 January 2015. The additional government revenue would be raised
See MoreLuxembourg: Rules Out Top Tax Rate Rise
The Luxembourg government is planning to raise more revenue in the next few years by putting together a package that will include some tax rises. The Finance Minister has recently clarified however that the highest rate of income tax is not to be
See MoreIrish Personal Income Tax Cuts may be Needed
The American Chamber of Commerce Ireland has suggested that the high marginal individual income tax rates in Ireland combined with the low threshold for the highest rate create an obstacle to attracting key personnel. This also causes a cost burden
See MoreChina: Issues circular to clarify corporate income tax incentive
On 25 March 2014, China’s Ministry of Finance and State Administration of Taxation (SAT) jointly issued a circular, Caishui No. 26 (Circular 26) to clarify the criteria for the 15% preferential corporate income tax (CIT). A lower 15% incentive
See MoreGerman States Agree Tougher Tax Regularization Rules
German federal state finance ministers have discussed improvements to the tax system and have decided on action to strengthen the “declaration of non-compliance” that permits residents to regularize their tax affairs without the possibility of
See MoreEU: Issues opinion regarding cross-border intra-company transactions within a VAT group
On 8 May 2014, the Advocate General (AG) of the Court of Justice of the European Union (CJEU) issued an opinion in the case of Skandia America Corporation USA, Sweden branch (C-7/13). The questions referred to the CJEU by the Swedish court related
See MoreColombia: Rulings regarding the application of CREE tax to companies in liquidation
Colombia’s National Tax Authority (Dirección de Impuestos y Aduanas Nacionales – DIAN) has explained through Ruling No. 23001 that when a company is in liquidation it is still subject to the fairness tax (Impuesto sobre la renta para la equidad
See MoreUS: IRS eases enforcement for FATCA compliance for some taxpayers
In Notice 2014-33, the IRS has announced that it will treat calendar years 2014 and 2015 as a transition period for purposes of enforcing and administering implementation of the Foreign Account Tax Compliance Act (FATCA) by all withholding agents
See MoreSouth Africa: Issues new VAT rules
The South African Revenue Service (SARS) has on 2 May 2014 issued a new regulation setting out the circumstances under which indirect exports may qualify for zero rating and explaining when a Value-Added Tax (VAT) refund may be due on the export of
See MoreRomania Pursues Tax Debtors
Romania’s tax authority has commenced a pilot project aiming to ensure that medium sized businesses pay their tax arrears. Businesses are being contacted and given the options available for settling their liabilities. The intention is to
See MoreMexico: President submits secondary legislation to Congress
The Mexican Congress is considering a number of measures that will form the secondary legislation in respect of the energy reform. The new measure will put through the details of implementing the energy reform and permit investment by private
See MoreKazakhstan Announces Tax Breaks For Investors
The Kazakhstan government is introducing some new incentives for investors. These are reported to include a ten year corporate tax holiday for certain investments. The measures would also include a visa concession under which some investors could
See MoreJapan Planning Corporate Tax Cut Next Year
There are plans to lower the corporate tax rate following the work of the Tax Commission appointed by the Japanese government. The Commission suggested an eventual reduction of the corporate tax rate to around 25 percent, and the Deputy Economy
See MoreIreland: Retailers Call for Personal Income Tax Cuts
The retail industry body Retail Ireland is confident that the retail sector will experience a significant recovery in 2014 and has requested individual income tax cuts to increase the spending power of the public and ensure that the public has more
See MoreIreland Eases Rules for LPT Concessions
Certain relief from Ireland’s Local Property Tax (LPT) is available for some disabled individuals. The Finance Minister has now announced that the scope of these reliefs is to be extended. The exemptions relate to property that are built or
See MoreGermany: Draft guidance amending corporate tax loss limitation rules
Germany has issued draft guidance to replace prior advice on the corporate tax loss limitation rules. The current guidance was issued in 2008 and although there have not been any changes to the basic provisions in this area the new guidance aims to
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