Greece | Main corporate tax rates: On 21 March 2019, the Public Revenue Authority issued two circulars (E.2046/2019 and E.2047/2019) for reducing corporate tax rates and dividend tax rates. Accordingly the standard corporate tax rate in Greece is 28% for the 2019 and 27% will be for the 2020 tax year. The circular also confirms that the corporate tax rate is maintained for credit institutions. Dividends: On 21 March 2019, the Public Revenue Authority issued circulars for reducing corporate tax rates and dividend tax rates. Under the circular no E.2047/2019, dividend income and the withholding tax on dividends have been set at 10%. This applies to income from tax years that begin on or after 1 January 2019. See the story in Regfollower |
Luxembourg | Main corporate income tax rates: According to draft budget 2019 presented by Finance Minister to the Chamber of Deputies on 5 March 2019, the corporate tax rate would be reduced from 18% to 17%, while at the same time increasing the income bracket affected by the minimum rate of 15% would be increased from EUR 25,000 to EUR 175,000. For the amounts between EUR 175,000 and EUR 200,000, the tax would be calculated using a formula in which EUR 26,250 is increased by 31% of the income over EUR 175,000. This measure would already be applicable as from the 2019 fiscal year. See the story in Regfollower |
Czech Republic | CFC rule: On 27 March 2019, the Czech Republic released the Law of 12 March 2019, which includes CFC rules. Under the new law, a foreign company or permanent establishment will be considered controlled foreign company (CFC) for tax purpose if the Czech taxpayer itself or together with associated persons has a direct or indirect participation of more than 50% in the voting rights, capital, or rights to profit of the entity. See the story in Regfollower |
Qatar | Sanction for Late returns: On 4 March 2019, Qatar’s General Tax Authority was published guidance on income tax return submission process as well as the law introducing new financial penalties for late submission of tax returns and late payment of income tax and withholding tax. According to the new law, taxpayers have to pay QR 500 per day of delay up to a maximum of QR 180,000 (QR 100 per day of delay up to a maximum of QR 36,000 in the previous tax law) for late submission of tax returns. Penalties for late payment of income tax and withholding tax will be subject to 2% (previously 1.5%) tax payable per month of delay. See the story in Regfollower |
Argentina | Incentives: On 15 March 2019, Argentina published the Decree no. 196/2019 in the official gazette amending Decree No. 379 which was issued in 2001. The decree amends and extends one year (from January 1 to December 31, 2019) tax incentives for the local production of certain goods, together with capital goods, IT and telecommunications equipment, and agricultural machinery. See the story in Regfollower |
South Africa | Taxability of Other income: On 7 February 2019, South African Revenue Service has issued interpretation Note 109, which clarifies the rules on the tax treatment of lease premiums. See the story in Regfollower |
Zambia | Thin capitalization rules: On 1 January 2019, the Zambian government published its budget for 2019 to the National Assembly. The budget limits the deductibility of interest on debts owed by a taxpayer to 30% of the Earnings before Interest, Tax, Depreciation and Amortization (EBITDA) for purposes of company income tax. Withholding tax rates: On 1 January 2019, the Zambian government published its budget for 2019 to the National Assembly. Increased the withholding tax rate on dividends, interest and branch profit remittance to 20% from 15%. See the story in Regfollower |
Russia | Special tax rates: On 6 March 2019, a draft bill was presented to the State Duma (Lower House of Parliament) proposing to lower the maximum amount of the property tax rate to be taxed at the cadastral value. According to the bill, the corporation tax rate for real estate will be 1.5% from the current 2%. See the story in Regfollower |
Colombia | Filing return: On 7 March 2019, the National Tax Authority (DIAN) of Colombia published an administrative regulation and updated the withholding tax return forms (Form 350) for 2019. According to Annex 2, the following payments are made to resident in treaty partner jurisdictions: real estate, dividends, interest, royalties, capital gains, employment income, director’s fees, artists and sportsmen, pensions, government service, technical services, technical assistance and consulting, and other income. See the story in Regfollower |
Pakistan | Special tax rates: On 6 March 2019, the National Assembly has approved the Finance Supplementary (Second amendment) Bill, 2019 aimed at amending tax laws. Under the amendment, for nonbanking sectors, the super tax is abolished from tax year 2020. For banking companies, super tax at 4% is maintained up to tax year 2021. Carry forward of Losses: On 6 March 2019, the National Assembly has approved the Finance Supplementary (Second amendment) Bill, 2019 aimed at amending tax laws. Under the amendment, carry forward of capital loss on disposal of securities, as envisaged under section 37A, to be allowed for three tax years from tax year 2019 and onwards. See the story in Regfollower |
China | Carry forward of Losses: Recently circulated new rules and requirements for tax compliance. The new rule extended carry forward period of losses to 10 years for “high and new technology enterprises” (HNTEs) and “high-tech small and medium enterprises” (SMEs) as of 1 January 2018 for losses incurred within five years before obtaining the relevant qualification. See the story in Regfollower |
Ireland | Incentives for industry/manufacturing: On 6 March 2019, Irish Revenue released Tax and Duty Manual Part 29-02-03, which includes the Research and Development Tax Credit guidelines. The tax credit is calculated separately from the normal deduction of the R&D expenditure in computing the taxable profits of the company. See the story in Regfollower Incentives for small business: On 1 March 2019, Irish Revenue released Tax and Duty Manual Part 15-03-03 that has been updated to reflect the amendment made in Finance Act 2018 which extended the relief for start-up companies under section 486C of the Taxes Consolidation Act (TCA) 1997 to companies commencing a new trade in 2019, 2020 or 2021. Section 486C of the TCA 1997 was introduced by Finance (No. 2) Act 2008 and provides for relief from corporation tax for start-up companies in their first three years of trading. See the story in Regfollower |
Taiwan | Carry forward of Losses: On 4 March 2019, the National Tax Bureau of the Northern District (NTBND) of the Ministry of Finance of Taiwan issued a clarification on carry-forward of losses for exemption from investment income. See the story in Regfollower |
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