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  • Slovak parliament overrides presidential VAT veto
    The Slovak parliament has overridden President Rudolf Schuster's March 29 2004 veto of the proposed value added tax (VAT) law. The proposed law is set to take effect on May 1 2004, the day Slovakia joins the EU, and would introduce a flat 19% VAT rate.
    April 10 2004
  • Finland implements EU tax directives
    The government of Finland has implemented the EU's Interest and Royalties and Savings Tax Directives by amending the Act on Elimination of International Double Taxation and the Act on the Taxation of Nonresidents' Income and Capital.
    April 10 2004
  • EU update: French exit tax incompatible with EC Treaty
    The European Court of Justice ruled on March 11 2004 that the French legislation taxing unrealized capital gains simply because a taxpayer moves to another EU member state infringes the freedom of establishment (case C-9/02 Hughes de Lasteyrie du Saillant).
    April 10 2004
  • Baker & McKenzie steals transfer pricing economists from big-four firms
    Baker & McKenzie has beefed up its transfer pricing team, hiring two transfer pricing economists away from big four professional service firms. The firm announced the hire of Donna McComber from Ernst & Young in the San Francisco Bay Area and Thomas Respess from PricewaterhouseCoopers in Washington on April 12 2004.
    April 10 2004
  • US Treasury forces the pace on tax-adviser standards
    The tax shelter opinion standards that the US Treasury and the IRS first proposed at the end of 2003 in proposed changes to Circular 230 will be finalized soon, according to a Treasury official. There have been concerns that ordinary tax planning would trigger the rules. But Eric Solomon, Treasury deputy assistant secretary (regulatory affairs) said the comments on the proposals submitted by tax advisers would be incorporated in the new regulations.
    April 03 2004
  • Pillsbury Winthrop welcomes returning tax partner
    US law firm Pillsbury Winthrop announced on April 2 2004 that Timothy Burns, who joined the firm in 1989 and became a partner in 1997, has rejoined the tax practice after a year with Lombard Investments. Burns' practice focuses on tax, partnership and private equity matters.
    April 03 2004
  • Global corporate tax rates fall
    A survey by KPMG has found that global corporate tax rates continued to fall in most parts of the world. The 2004 survey found that the average rate for the members of the thirty OECD nations (Organisation for Economic Cooperation and Development) fell from 30.68% in 2003 to 29.96% in 2004.
    April 03 2004
  • Norwegian proposals benefit inter-company transactions
    The Norwegian government unveiled tax reform proposals on March 26 2004. The reforms would make inter-company dividends and inter-company capital gains on shares tax-free, and corresponding losses would be non-deductible. To prevent a tax-motivated realization of losses, that part of the reform would come into force from the day the proposal was presented. The rest of the reform would be phased in over the years 2005 to 2007.
    April 03 2004
  • EU rejects Gibraltar’s tax proposals
    The European Commission (EC) rejected Gibraltar's proposals for company tax reform on March 30 2004. The proposals would have replaced Gibraltar's 35% corporate tax rate with a payroll tax and a business property occupation tax that together could not exceed 15 % of company profits. But the EC ruled that the proposals would contravene EU state aid rules. The Gibraltarian government has pledged to challenge the decision.
    April 03 2004
  • Germany clarifies limited liability company tax status
    The German tax authorities released guidelines on March 29 2004 clearing up long-standing confusion over the classification of limited liability companies (LLCs) for tax purposes as either a partnership or a corporation
    April 03 2004
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