Belgium
From 1 January 2013 capital gains made by companies on the disposal of shares are to be taxed at a rate of 0.4% (plus a 3% crisis contribution).
Brazil
Under Private ruling 8/2012 of 8 November 2012, contributions to a CCA are allowable if there is documentary evidence that the expenses were actually paid, were for a business purpose and that under the agreement the contributions were allocated between participants on a reasonable basis.
Indonesia
Under proposed new regulations the definition of a related party would be expanded to include parties in Production Sharing Contracts, contracts of work, customers and suppliers. Proposed new rules would set out a procedure where intellectual property is transferred, involving confirmation of the existence and valuation of the property; identification of the parties involved in its development; consideration of whether the transfer would occur between independent parties; and determination of the arm’s length price. New rules would also require companies to present segmented data rather than company-wide results but these proposals have not yet been implemented. Number of years to be compared-Under proposed new rules a multiple year analysis would normally be required. There is a proposal to increase the threshold to IDR 50 billion in the case of sale or purchase transactions but this has not yet been implemented.
In relation to Mutual Agreement Procedure the, new rules on the MAP process would be included in the proposed new regulations.
Vietnam
Legislation passed by the Assembly on 20 November 2012 introduces APAs from 1 July 2013. Unilateral APAs are to be available from 1 July 2013.Bilateral APAs are available from 1 July 2013 if the other party is in a country that has a tax treaty with Vietnam. Multilateral APAs are available from 1 July 2013 if the other parties are in countries that have tax treaties with Vietnam. Formal rules are to be published in 2013.
Austria
The Austrian Independent Fiscal Senate (UFS) in decision UFSW, GZ RV 2515-W/09 suggested that the use of an inter quartile or a full range depends on the quantity and quality of results of the benchmarking study. A small sample of six results for example did not meet statistical requirements for use of the inter quartile range and a full range would need to be used.
Australia
An exposure draft of new subdivisions 815-B to 815-E ITAA 1997 was issued on 22 November 2012. Subdivision 815-B aims to ensure that the profits taxed in Australia from cross border conditions between entities are a reflection of the contribution made to the profits by operations in Australia. Subdivision 815-B requires examination of the substance of the transactions and is to be interpreted consistently with the OECD Guidelines. The ATO would be permitted to reconstruct transactions to conform to the economic substance. Subdivision 815-C confirms the single-entity approach to a permanent establishment and subdivision 815-D is concerned with documentation requirements and penalties.
Sweden
Previously Interest was not deductible only if it relates to a loan from a related party for the intra group acquisition of shares or share-based instruments. In certain special circumstances this restriction may also apply to loans from third parties. From 1st January 2013 this restriction is extended generally to interest on loans for this purpose from any source. From 1 January 2013 the corporate income tax rate has become 22% which was 26.3% previously.
Ukraine
A number of changes have been brought by the new transfer pricing regulation of Ukraine regarding control, safe harbor rules, and applicable methods, range of comparable data, documentation requirement, documentation format, documentation thresholds, and penalty for documentation failure, audit time limits and audit process.
