China: Shanghai and Hong Kong Agree Financial Services Co-operation
The fourth Hong Kong-Shanghai Financial Co-operation Working Meeting brought together representatives of governments, stock exchanges and financial regulators to discuss issues surrounding financial services and products. Representatives from
See MoreVietnam – VAT export and invoice changes
Some changes have been made to Vietnam’s VAT regime in respect of VAT invoices and the VAT on exports. The aim of the changes is to require adequate documentation to be maintained in respect of the transaction, including proof of export. There
See MoreNew Zealand’s opposition party welcomes the launch of FTA talks with the EU
In New Zealand an opposition party has welcomed the launch of free trade talks with the EU but has called on the Government to address tax barriers to domestic economic activity. Reacting to NZ-EU FTA negotiations, the leader of the opposition ACT
See MoreMalaysia – Steep Penalties in GST Bill
Malaysia is to introduce a new Goods and Services Tax (GST) Act to replace a draft Act originally put forward in 2009. The new Act will contain harsh penalties for taxpayers who fail to comply with its provisions. The GST rates and structure are not
See MoreHong Kong – 2013-14 Tax Returns Issued
On April 1 2014 the Hong Kong Inland Revenue Department issued the 2013/14 tax returns in respect of profits tax, property tax and tax reporting by employers. In the Budget for this year Hong Kong has announced a one-off reduction of 75% on profits
See MoreHong Kong signs tax information exchange agreement with the US
Hong Kong signed a tax information exchange agreement (TIEA) with the US on 25 March 2014. This agreement will strengthen the ability of the two jurisdictions to take action in respect of the enforcement of their taxes. Tax information exchange
See MoreGermany and China sign a DTA and Protocol
Germany and China signed a new double tax agreement (DTA) and Protocol on March 28 2014. The agreement generally follows the provisions of the OECD Model but the definition of a permanent establishment includes the provision of services in the other
See MoreChina: Additional tax cuts for small business
China’s State Council meeting on April 2, 2014 decided on a number of changes including more tax cuts for micro and small-sized enterprises. These enterprises are defined as businesses with an annual taxable income under RMB 60,000 (USD 9,650).
See MoreChina and EU Agree To Work towards FTA
In a meeting between EU leaders and China’s President both sides agreed that they are committed to transparent trade and investment rules. They investigated ways to enhance trade and investment to benefit their economies. When the appropriate
See MoreNew Zealand: New rules for determining tax residence
In New Zealand the Inland Revenue Department has issued an “interpretation statement” on tax residence. This is an update to previous guidance from 1989. The new statement takes effect from 1 April 2014 and includes residence criteria for
See MoreNew Zealand and EU consider Free Trade Agreement
New Zealand and the European Union are considering possibilities for updating their trade and economic relations. As part of this process they are looking at the possibility of concluding a free trade agreement. The leaders of the EU met with New
See MoreJapan: 2014 tax changes
Some changes to Japan’s tax law announced on 1 October 2013 were passed on 20 March 2014. The “attributed income principle” in respect of the profits of permanent establishment, as set out in the authorized OECD approach, will be adopted. The
See MoreIndia shows decline in transfer pricing adjustments
The income tax department has estimated that the number of transfer pricing adjustments in 2014 so far has fallen by 14 percent by comparison to the previous year. This may indicate that taxpayers in India are becoming more aware of the transfer
See MoreHong Kong DTAs with Qatar, Canada, Kuwait, Jersey, and Mexico
The double taxation agreements (DTAs) that Hong Kong has signed with Qatar, Canada, Kuwait, Jersey, and Mexico are to take effect in Hong Kong from April 1,
See MoreHong Kong considers how to maintain Low-Tax Regime
According to a recently published report by the Working Group on Long-Term Fiscal Planning the government will need to find additional tax revenue at some point in the future to close a gap in the finances. The government has emphasized that fiscal
See MoreHong Kong and USA working for FATCA IGA
Hong Kong and the United States signed a tax information exchange agreement (TIEA) on March 25 2014. This will provide the legal framework within which an intergovernmental agreement (IGA) can be signed to enable the transfer of information in
See MoreFTA between Canada and South Korea
Canada and South Korea concluded a free trade agreement (FTA) in March 2014. This agreement will reduce or eliminate duties and tariffs on a number of imports and exports between the two countries. Within a three to five year time span Canada is to
See MoreIndia releases revised Direct Taxes Code 2013
The Indian Finance Minister has issued a discussion draft of the Direct Tax Code (DTC), 2013. This draft contains proposals for extra taxes on high net worth individuals, a lower threshold than earlier proposed for imposing tax on the offshore sale
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