COMPLIANCE MANAGEMENT
EFRAG meeting calls for IAS 12 evolution not revolution
The majority of participants in a meeting organised by the European Financial Reporting Advisory Group (EFRAG) want the IAS 12 accounting standard, which describes how income taxes should be treated for accounting purposes, to be improved rather than replaced.
Non-US entities get first sight of beneficial ownership form for FATCA
The Internal Revenue Service has published a draft Form W-8BEN-E, which overseas entities must use to certify beneficial ownership status for US withholding tax purposes under the Foreign Account Tax Compliance Act (FATCA).
CORPORATE TAX
US tax certainty more important than lower rates for CFOs
US CFOs say they consider certainty in the tax code more important than a reduction in corporate tax rates. At present, few businesses even perform impact assessment models for US tax proposals; such is the extent of the uncertainty.
Sweden’s Anders Borg plans corporate tax rate reduction
Anders Borg, Sweden’s finance minister, has reiterated that the country’s corporate tax rate may be lowered.
INDIRECT TAX
OECD’s Battiau and ATAF swap notes on African VAT
Piet Battiau, head of consumption taxes at the OECD, met with senior officials from the African Tax Administration Forum (ATAF) last week to discuss the challenges they are facing in formulating VAT/GST policy.
Airlines must adapt as Australia’s carbon tax hits
Australian airlines will need to pass on extra costs to customers, increase fuel efficiency and axe routes, if they are to survive the introduction of the carbon pricing mechanism on July 1.
TAX DISPUTES
ECJ quashes Commission’s appeal over EDF state aid tax benefit
The European Court of Justice (ECJ) overturned the European Commission’s ruling that a tax benefit obtained by electricity company EDF constituted improper state aid on Tuesday, saving the company €889 million ($1.1 billion).
Why Russian taxpayers seeking BVI-Cyprus treaty benefits are at risk
Russian companies undertaking so-called BVI-Cyprus sandwich structures to gain tax treaty benefits on royalty income are taking a serious risk according to advisers, despite a recent taxpayer victory in the Federal Arbitration Court of the Ural's Circuit.