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  • A reduction in the corporate tax rate for domestic companies grabbed the headlines after India's Budget was released on February 28 2005.
  • The Indian tax authorities have ordered about 90 foreign companies, including banks, diamond companies and pharmaceutical companies to pay more tax, according to the Economic Times. The authorities believe the companies have not paid their fair share in accordance with the country's transfer pricing rules.
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  • Gerhard Schroeder, the German Chancellor, has proposed tax reforms that would cut the rate of corporate income tax from 25% to 19%. It was unclear, however, exactly how much tax relief companies operating in Germany would get because Schroeder said the move must be balanced by closing loopholes and cutting down on tax avoidance.
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