International Tax News
Malaysia has suspended its MSC Malaysia tax regime, pending changes to bring it into line with recommendations from the OECD's Base Erosion and Profit Shifting initiative.
The OECD has committed to providing proposals to fix the taxation of the digital economy by 2020, in an update to G20 leaders on international efforts to mitigate base erosion and profit shifting (BEPS).
Switzerland wants to see the introduction of an internationally applicable standard for the taxation of the digital economy.
Spanish Prime Minister Pedro Sanchez has pledged to reform Spain's corporate tax rules so that companies pay an effective rate no lower than 15 percent.
Upon leaving the European Union, the UK should not be included in the EU VAT area and adopt its own specific VAT regime, UK lawmakers agreed on July 16, 2018, in a move that may derail the Government's efforts to agree a Brexit transition period to cushion the impact of Brexit on firms.
The American Institute of CPAs has urged the Internal Revenue Service and the US Treasury Department to simplify the draft 2019 Form W-4, Employee's Withholding Allowance Certificate, and the accompanying instructions, to reduce administrative burdens on taxpayers.
The South African Revenue Service has removed certain paper forms from its branches in an attempt to encourage more taxpayers to file tax returns electronically.
The Dutch Government has begun a public consultation exercise on plans to introduce a new tax on air travel by 2021.
The Australian Government has set out the numerous changes made to the tax system on July 1 and launched a consultation on new tax rules for "stapled structures."
On July 6, 2018, the UK Government issued draft legislation that would transpose new EU value-added tax rules on vouchers into UK law, along with an explanatory memorandum of the changes.
The International Monetary Fund has recommended that the United States raise indirect taxes to boost revenues, to offset the cost of recent tax cuts and spending increases.
Pakistan's Government has approved a one-month extension to tax amnesties for companies and individuals, which were due to end on June 30, 2018.
Ontario's new government has scrapped the province's cap-and-trade carbon pricing regime, effective July 3.
The OECD has welcomed efforts by the Dutch Government to tackle base erosion and profit shifting but called for the overall tax regime to be simplified, including in area of value-added tax.
An administrative overhaul of Denmark's tax authority was instituted on July 1, with a series of new specialized boards becoming operational.
The US Internal Revenue Service has announced plans to streamline the personal income tax return for the 2019 tax filing season, to reflect changes brought about by the Tax Cuts and Jobs Act.
The decision by the US Supreme Court to drop the physical presence requirement for states to impose sales tax will have an "incredible impact" on states' tax regimes and revenues, according to Mark Friedlich, Senior Director of Tax and Accounting, North America, Wolters Kluwer.
France has made adequate fiscal consolidation efforts to exit the EU's excessive deficit procedure, the EU Council recently agreed, while calling on Hungary and Romania to adopt tax or expenditure measures to shore up their finances.
The Australian Government is to postpone a Senate vote on its company tax cuts until after July's by-elections.
The European Commission's proposal for a digital services tax would be "deeply harmful" to the EU business environment and may lead to double taxation, a coalition of business and technology groups has warned EU leaders.
The European Free Trade Association states – Switzerland, Liechtenstein, Iceland, and Norway – signed a free trade agreement with Ecuador on June 25, 2018, and upgraded the bloc's existing free trade deal with Turkey.
In a landmark decision on June 21, the Supreme Court of the United States overturned existing case law by ruling that a state can collect sales tax on remote sales even when the vendor does not have a physical presence in the state.
France and Germany have put forward new proposals for a common corporate tax base in Europe.
Mauritius announced wide-ranging changes to its tax regime in its latest Budget, including for companies.
Switzerland is preparing to exchange multinational groups' country-by-country reports with 35 partner states at the end of June.
The Seychelles introduced a new progressive income tax system for individuals on June 1, 2018.
The Dutch Ministry of Finance has reassured taxpayers that it seeking to resolve at EU level reform of the EU's value-added tax rules concerning cost-sharing groups, following the European Court of Justice's rulings in DNB Banka (Case C-326/15) and Aviva Towarzystwo (Case C 605/15).
The highly concentrated nature of Ireland's corporation tax receipts represents "an unacceptable level of risk," according to parliament's Public Accounts Committee.
On June 14, 2018, Hong Kong's Inland Revenue Department released guidance on the tax obligations of landlords.
The Danish tax burden will continue its downtrend trend in the coming years, Danish Tax Minister Karsten Lauritzen has said.