Luxembourg wants acceleration of negotiation on Savings Tax

10 December, 2013

Luxembourg has called on the European Commission (EC) to accelerate negotiations with third party countries, to make sure that progress is made on plans to modify the Savings Tax Directive. The Savings Tax Directive is designed to ensure that income

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Luxembourg Considers Tax Rise

10 December, 2013

The assessment of current negotiations on the formation of a new Government of Luxembourg is that there is a pledge to redressing the public finances if necessary with recourse to tax measures. However Luxembourg is starting from a favorable

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Ireland: Tax hike hits Irish savings

10 December, 2013

According to one well known financial institution (the Nationwide Building Society), the Irish Finance Minister has decided to raise the Deposit Interest Retention Tax (DIRT) and it represents a very bad news for Irish savers. The extent of

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Technical services fees under treaty between India and Germany

10 December, 2013

It was held by the Agra Bench of the Income-tax Appellate Tribunal of India that leather testing charges were taxable as “fees for technical services” under the India-Germany income tax treaty. The treaty allows the source state the right to tax

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Hungary Signs OECD Multilateral Tax Assistance Treaty

10 December, 2013

Hungary has become the 61st jurisdiction to sign the Organization for Economic Cooperation and Development’s multilateral treaty on multilateral tax assistance. This can be considered as a step of Hungary to its fight against cross-border tax

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Hungary- Amendments to Corporate Law

10 December, 2013

Hungary is going to modify its civil code by making significant changes to the corporate law which is likely to become effective from March 2014. According to the amendments, new companies may be permitted to establish their own company guidelines

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Russia–Readjusting the taxable base for transfer pricing purposes may impact on the VAT base

10 December, 2013

The Russian Ministry of Finance has made public Letter No. 03-01-18/19214 clarifying the rights of tax authorities to readjust the taxable base in the case of selling goods and performing of works or services between related parties. Article 105.3

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Finnish Administrative Supreme Court Order to pay interest on refunds of withholding tax collection

10 December, 2013

According to the Finnish Supreme Administrative court decision, Finland tax authority must pay interest on refunds of withholding tax collected in contrast to the EU law. The interest rate imposed on withholding tax refunds varies annually. In the

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France and the US signed FATCA Intergovernmental Agreement

10 December, 2013

On 14 November 2013, the US and France signed an Intergovernmental Agreement (IGA), in order to improve international tax compliance and to implement the US Foreign Account Tax Compliance Act. The FATCA legislation aims to ensure that US citizens

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EU: Planning to change the intrastate reporting process

10 December, 2013

The European Commission is plans to changes the Intrastate reporting process which is the month to month reporting procedure for EU VAT registered businesses. This enables the countries to follow the movement of goods in the free trade

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ECJ: Interest payable where VAT credit incorrectly refused

10 December, 2013

Recently, the European Court of Justice (ECJ) has ruled that member states may not lawfully withhold interest due on VAT credits or refunds. The ECJ held that EU member states cannot block VAT interest and has ruled that tax authorities still have

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France – Arm’s length indemnification for unfair termination of contracts

10 December, 2013

In two court cases of France it was reported on 9 January 2013 that a failure to provide the required notice period with respect to a group restructuring may provide a cause of action for an award of compensation for unfair termination of a

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France – Transfer pricing adjustments been recognized by the Appellate courts

10 December, 2013

The Administrative Courts of Appeal of France recently issued decisions affirming transfer pricing adjustments which are as follows: Lyon court of appeals The Administrative Appeals court in Lyon concluded that Frenchco exercised direction and

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France – Administrative Court of Appeal of Paris denies use of secret comparables

10 December, 2013

The Administrative Court of Appeal of Paris gave its decision in Nestlé Entreprises v. Minister of Economy and Finances (No. 12PA00469) on 5 February 2013 concerning the use of secret comparables under the transfer pricing regulation, article 57 of

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Canada-Luxembourg: DTC Protocol Entry into force

10 December, 2013

The Protocol amending the double taxation Convention between Canada and Luxembourg has entered into force on December 10, 2013 and was actually signed on May 8,

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Signing of Protocol to DTA between Philippines and Italy

10 December, 2013

The Government of the Philippines confirmed on December 9, 2013 regarding the signing of a Protocol to the double taxation agreement (DTA) with

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DTA between Cyprus and Portugal

09 December, 2013

The Cyprus and Portugal signed a double taxation agreement and this agreement will become effective from January 1, 2014, after the entry into force of the agreement on August 16,

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Czech Republic – Changes regarding tax and insurance premiums

09 December, 2013

In the Czech Republic, under changes that are effective in 2014, employers will need to ready new rules regarding the taxation and insurance premiums in respect of employees. Again, there are changes to the social and health insurance premiums for

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