Search results for

The latest international updates from our correspondents around the world.

Greece’s widely-reported bailout deal hinges on the country’s politicians agreeing on a VAT reform package including several base-broadening measures today, with corporate tax also set to rise – though not as harshly as earlier thought.

The Senate Finance Committee’s international tax reform working group, chaired by Senators Rob Portman and Chuck Schumer, has released its five-pillar framework for reforming the US tax code, concentrating on frequently-debated topics including a move to a territorial tax system, but there were also surprises – for example in the strength of recommendation for a US patent box.

The official launch of the Tax Inspectors Without Borders (TIWB) programme has come at a time when tax collection could not have a higher profile as a means of helping developing countries generate their own resources rather than rely solely on aid from richer countries.

A proposed Greek 26% transaction tax, which has caused concern and uncertainty for businesses in Bulgaria, Cyprus and Ireland, is being scrutinised by the European Commission (EC), which will convene a meeting with the parties concerned and provide its opinion on August 18.

On 26 January this year the EU Joint Transfer Pricing Forum (JTPF) had its mandate extended for the third time. This time there was a twist: for the first time representatives were invited to the forum from civil society.

MEPs last week approved draft rules that would require companies to publically disclose country-by-country reports. The decision is part of a wider document that, if put into legislation, would also give shareholders a say on directors’ pay.

Cooperative compliance between governments and multinational enterprises could be critical to efforts to minimise illicit financial flows from Africa, argue Jeffrey Owens and Alicja Majdanska of the Vienna University of Business and Economics.

Bob van der Made On June 17 2015, the European Commission (EC) presented an action plan setting out a new approach to business taxation, to meet the goal of fairer and more efficient taxation and to effectively tackle corporate tax avoidance. The stated objectives are: Re-establishing the link between taxation and where economic activity takes place; Ensuring that member states can correctly value corporate activity in their jurisdiction; Creating a competitive and growth-friendly corporate tax environment for the EU; and Protecting the Single Market and securing a strong EU approach to corporate tax issues, including on implementing OECD BEPS actions, dealing with non-cooperative tax jurisdictions and increasing tax transparency. A new legislative proposal for mandatory (at least for MNEs) common consolidated corporate tax base (CCCTB) will be presented in 2016. Implementation in two stages: first a common tax base (CCTB), with consolidation to follow at a later stage. If unanimity is not achieved, it is possible that a CCTB could proceed for selected member states under enhanced cooperation.

Mark Galea Salomone