Italy Consults on FATCA Agreement with US
Italy commenced a consultation on 23 April 2014 on the content of the inter-governmental agreement (IGA), concluded on 10 January 2014, to carry out the requirements of the Foreign Account Tax Compliance Act (FATCA) between Italy and the United
See MoreUS: IRS Should Improve Efficiency to Counteract Reduced Funding
The United States Government Accountability Office (GAO) is an independent agency that reports to the Congress and is often referred to as the congressional watchdog. The organization is headed up by the Comptroller General of the United States and
See MoreUS Pension Uptake Lags Despite Tax Incentives
In order to encourage taxpayers to make provision for their pensions various incentives are provided by the tax system. The US Government Accountability Office (GAO) has however reported that the number of new pension plans taken out by individuals
See MoreTax Freedom Day Comes Later For US Taxpayers
An organization known as the Tax Foundation (TF) computes the date of a day called Tax Freedom Day each year. This date is found by applying the average tax burden, expressed as a percentage, to the number of days in the year. The Tax Freedom Day is
See MoreUS: IRS Confirms Deductibility of Puerto Rican Excise Tax
The IRS has confirmed in a document published recently (Letter 2014-0006) that the IRS will not challenge the claim that Puerto Rico’s manufacturers excise tax is a tax that can be credited against United States federal income tax. In October
See MoreTIEA between Bahrain and Canada becomes effective
From April 13, 2014, the Tax Information Exchange Agreement (TIEA) concluded by Bahrain with Canada became effective. These agreements are seen by the international community as an important tool in the effort to curb artificial tax avoidance and
See MoreJapan and US Hold Talks On TPP
Talks were held between Japan and the US on 9 and 10 April 2014 to consider the remaining issues relating to the terms of the planned Trans-Pacific Partnership (TPP) trade agreement. The main problems between the US and Japan concern Japan’s
See MoreDTA between Portugal and Peru enters into force
It is reported that on April 12, 2014, the double taxation agreement (DTA) concluded between Portugal and Peru entered into
See MoreChile proposes tax reform
Chile is embarking on a tax reform that will affect both direct and indirect taxes. A Bill is under discussion in the National Congress and this covers important changes to the existing tax laws. The Bill aims to raise the corporate tax rate from
See MoreBrazil- Taxes on Drinks Ahead Of World Cup Increases
To take full benefit from the large number of visitors to the country this year, Brazil is to increase taxes on certain categories of drink such as beer, energy drinks and some fruit juice before the beginning of the soccer World Cup which is to be
See MoreUS – Tax Extenders Survive Senate Committee Vote
The United States Senate Finance Committee has been examining the various tax reliefs given to different sectors within the economy. The Committee has now passed the bipartisan Expiring Provisions Improvement Reform and Efficiency Act which
See MoreUS: IRS Told To Tackle Pension Plan Contribution Tax Abuse
A report issued by the Treasury Inspector General for Tax Administration (TIGTA) suggests that the IRS is permitting large deductions to be incorrectly claimed each year in relation to retirement plans for the self-employed. These retirement plans
See MoreUS – IRS Reviewing Tax Exemption For Political Donation
The Commissioner of IRS has suggested that advice on the tax relief for social welfare organisations will not be available before next year. Organizations have to be sure that they are operating within the scope of the relief in areas such as
See MorePeru: Published regulation for advance pricing agreement
The tax authority's Resolution 377-2013/SUNAT, published in the Official Gazette on 29 December 2013.Accordance with the Resolution 377/2013, intention to negotiate an APA should be expressed in writing to SUNAT which must reply within 15 days.
See MoreUS – Corporate Tax Rate has been World’s Highest For Two Years
The RATE Coalition (Reforming America’s Taxes Equitably) has drawn attention to the fact that as from April 1, 2014 the US has for two years had the highest corporate tax rate among OECD countries. The group which demands tax reform to increase
See MoreUS – Businesses Seek Retention of LIFO Accounting
The House Ways and Means Committee Chairman has been requested by the LIFO coalition to reject a proposal for the repeal of last-in, first-out (LIFO) accounting from the tax reforms. The LIFO coalition has 126 members and is an advocacy group on
See MoreUS: Budget Committee Chairman Delivers Republican House Budget For 2015
The House of Representatives Budget Committee Chairman has introduced the 2015 budget calling on Congress to reform the tax code to simplify the provisions; lower the individual and corporate tax rates to a 25% top rate; reform many tax reliefs;
See MoreUS: Bankruptcy Court rejects IRS transfer pricing adjustment
The US Bankruptcy Court for the Middle District of North Carolina (Greensboro Division) has rejected an IRS transfer pricing adjustment because the taxpayer would incorrectly considered to be an independent distributor Re: Case No. 09-10846C-11G, 18
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