PANA: Debate And Vote On The Final Report
The PANA committee held a debate on the regulation of financial intermediaries, protection of whistle-blowers and a single definition of tax havens. Subsequently, a final vote on the recommendation of the PANA Committee was held on December 13 in Strasbourg.
Ukraine: Roadmap On Tax Transparency Standard And Information Exchange
The Ukrainian Ministry of Finance presented a Roadmap, with which the country commits to implement international standards of transparency and exchange of information, “Tax transparency: EOIR / AEOI CRS”, in Ukraine.
EU Announces Oncoming Legislative Priority
On December 12, 2017, the European Council approved the EU's legislative priorities for 2018-2019, and initiatives listed in the declaration have been agreed by the European Parliament and the Commission. Substantial progress and agreement on these legislative initiatives are expected to be achieved before the 2019 European elections.
Mapping The Trends In MAP Resolution Of Tax Treaty Disputes After BEPS
A presentation on the improvements BEPS has made to the resolution of international tax disputes through the Mutual Agreement Procedure (MAP) under tax treaties.
The traditional failures of the MAP procedure are all too well known.
More BEPS Measures By New Zealand On Transfer Pricing Audit (2)
The recently introduced BEPS Tax Bill has been submitted to the Parliament for its first reading. Alongside the Tax Bill, the country has also launched other measures to deal with taxation of multinationals, including transfer pricing audit on specific group of companies.
EU Warns US Tax Reform May Lead To Barriers To International Trade
Recently, a warning letter to Steven Mnuchin, the US Treasury Secretary, from the EU is showing worrisome signs. The letter was sent jointly by financial ministers in the UK, France, Germany, Spain and Italy.
Controversy Management After BEPS – A Unique Network Of Global Experts (2)
The post-BEPS world of tax brings with it increased transparency, burdensome and costly compliance obligations and heightened personal liability that may even turn into criminal liability in some jurisdictions. At the same time, the OECD (and local jurisdictions) do not have sufficient dispute avoidance/resolution mechanisms to fully support the increased compliance burden, thereby paving the road for increasing controversy.
EU Agrees Equalization Levy And Virtual PE Concept On Digital Economy Tax
The ECOFIN Council has approved Conclusions on Taxation of the Digital Economy , aimed at facilitating the Union to be better involved in the international discussions on digital economy taxation. It also serves as a reference to further work on the subject at EU level, including expected legislative proposals by the Commission early in 2018.
New Zealand Introduces BEPS Tax Bill
The Neutralizing Base Erosion and Profit Shifting (BEPS) Bill has been introduced into Parliament. It is expected to counter BEPS practices by multinational companies and prevent profits from being shifted out of New Zealand to reduce domestic taxable income.
EU Tax Haven Blacklist Including 17 Jurisdictions
The Finance Ministers of EU Member States agreed to the first ever EU list of Non-Cooperative Tax Jurisdictions during their meeting in Brussels. In total, 17 countries for have been listed failing to meet agreed tax good governance standards.
UK Issues Consultation Outcome On Notifying Offshore Structure Requirement
HM Revenue & Customs (HMRC) published the consultation outcome on a proposed new legal requirement and responded to issues concerned. In the proposal, if intermediaries create or promote certain complex offshore financial arrangements, they need to notify HMRC of these structures and their clients using them.
India Signs Bilateral APA With the Netherlands
The Central Board of Direct Taxes (CBDT) has entered into two Bilateral Advance Pricing Agreements (APAs). These Agreements are the first ever Bilateral APAs with The Netherlands.
CbCR Filing Health Check
Now that the deadline for filing your Country-by-Country Report (“CbCR”) is approaching rapidly for many jurisdictions, a CbCR health check before filing is a must. Therefore, take the following five steps into account prior to the submission of your CbCR:
5 Action Steps .
Potential increase Of Tax Liability Of Luxembourg Financing Companies
Intra-group financing companies have undergone significant scrutiny in the OECD/G20 BEPS project. Following this policy, Luxembourg tax authorities issued circular LIR n° 56/1 at the end of December 2016 having effect per 1.
Italian Guideline On CbCR And Automatic Information Exchange Released
The Internal Revenue Agency (Agenzia Entrate) in Italy released an order, which provides information for multinationals based in Italy to disclose data of their subsidiaries in the context of automatic country-by-country reporting. The order covered necessary information concerned the reporting arrangements, the deadlines for reporting the content of communication, and the language regime.
PANA Final Meeting Held With A Hearing on Paradise Papers
The final meetings of the Committee of Inquiry into Money Laundering, Tax Avoidance and Tax Evasion (PANA) took place with a Hearing on Paradise Papers in the afternoon. During the 15-month investigation by the Committee, 25 hearings, workshops and 11 studies took place.
Dutch Law Amended Regarding Access to Anti-Money Laundering Information
The Dutch Senate approved the bill on the implementation of the EU Directive on the access of tax authorities to anti-money laundering information in Dutch law. This bill is the amendment to the Act on the International Assistance in Taxation and thus implements the EU Directive 2016/2258 .
Increased controversy in Africa after BEPS – An analysis of recent TP disputes
A webinaron increased controversy expected after BEPS and the MLI in Africa, and an update on current TP disputes going to court in Africa.
9 African jurisdictions have signed the MLI: South Africa, Nigeria, Seychelles, Mauritius, Cameroon, Egypt, Gabon, Burkina Faso and Senegal.
Oxfam - Four EU Member States Could Be Found Tax Havens
Based on information leaked from the Paradise Papers , the EU has announced to compile a blacklist on the low-tax and non-cooperative jurisdictions, and the final version of such a list is expected to be released on December 5, 2017. Accordingly, Oxfam, an NGO based in UK, has issued a report on November 28 to give its opinion on jurisdictions with problematic tax scheme.
Australia Seeks Public Comments On Hybrid Mismatch Legislation Draft
The Australian government announced to implement the targeted rules on hybrid mismatch arrangements recommended by the OECD to eliminate double non-taxation benefits. Simultaneously, a public consultation is opened for the community’s views on the corresponding exposure draft legislation.
UK Issues Position Paper on Corporate Tax and Digital Economy
The British Government released a position paper to give its view on challenges posed by the digital economy for the corporate tax system and its preferred solutions. The objective is to ensure that the corporate tax rules respond to the modernisation of the economy and deliver appropriate results for digital businesses that generate value in unique ways.
US Updates Table for CbC Reporting Jurisdictions
The US Internal Revenue Service (IRS) published a notice to announce that the country-by-country reporting jurisdiction status table has been updated. The table states a last reviewed date of November 14, 2017.
The Netherlands Combats Tax Evasion Via Stricter Trust Rules
Since publication of the Paradise Papers , many jurisdictions have taken measures to respond and made use of the information released. Recently, the Dutch government also announced to tighten its rules for trust office and trust managers as a resort to combat the evasion which makes use of trusts.
Poland - New Transfer Pricing Regulations Since 1 January 1st 2017 (2)
The amended regulations concerning transfer pricing became valid on 1 January 2017. The most significant change is that under the new regulations, taxpayers’ obligations are differentiated by revenues/costs value (in accordance with accounting regulations) exceeded in the previous tax year.
Pakistan Clarifies CBCR, Master And Local Files Requirements
On November 16, 2017, the Federal Board of Revenue (FBR) in Pakistan has issued SRO 1191(1)/2017, which inserts chapter VIA to the Income Tax Rules, 2002. The new chapter, "Documentation and CbC reporting requirements", identifies the connotation of reporting entities, clarifies the reporting deadlines and gives a brief explanation to the contents of the country-by-country (CbC) reports, master files and local files.
EU State Aid Rules Hit UK CFC Rule And Greek Rule
Recently, the European Commission released its latest findings on the investigations into the domestic legislations of UK and Greece respectively. The Commission finds that the British CFC exemption constitutes illegal state aid and decides to initiate the formal investigation procedure to the UK scheme, while the Greek defence system is found to fall outside the scope of the state aid, with a small proportion of illegal measures to be recovered.
Implementation of BEPS Action 13 - Argentina, Mexico and other countries of Central America
Whilst many countries around the world have been implementing Action 13 of BEPS, countries in Latin and Central America also continue gradually advancing in the incorporation of the Country by Country report, Master File and Local file in their domestic legislation and therefore assuming the new challenges on transfer pricing documentation recommended by the OECD.
Current Status and Implications .
Peru - Modify The Regulations Of The Income Tax Law: Formal Transfer Pricing Obligations
The Peruvian Government published the regulations for the new transfer pricing documentation that have been implemented in the Peruvian legislation.
The official newspaper "El Peruano" has announced Supreme Decree No.
The impact of BEPS Action 13 for MNEs operating in LATAM
Countries in LATAM as Chile, Colombia, Mexico and Uruguay have been implementing in their domestic legislations some or all of the three-tiered transfer pricing documentation (Country by Country report, Master File and Local file) recommended by the OECD on Action 13 of BEPS project. Hence, multinational enterprises operating in the region are required to fill this new TP documentation in compliance with the OECD standards and the specific regulations of the particular country.
New Transfer Pricing Regulations In Poland In Force Since January 1st, 2017
New transfer pricing regulations in Poland were introduced into the tax system to implement the instruments developed by OECD within BEPS framework. However, there are some different items and obligations included in Polish regulations that are not part of the OECD Guidelines.