As more companies invest in sub-Saharan Africa they encounter the uncertainties connected to the tax and legal regulations when extracting profits to be repatriated. But, with Africa fast becoming the alternative to India and China as an attractive location for its low cost labour, taxpayers are advised to keep their structures in line with the region’s developing tax systems.
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The new guidance is not meant to reflect a substantial change to UK law, but the requirement that tax advice is ‘likely to be correct’ imposes unrealistic expectations
China and a clutch of EU nations have voiced dissent after Estonia shot down the US side-by-side deal; in other news, HMRC has awarded companies contracts to help close the tax gap