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  • Australia to amend withholding tax exemptions on interest
    Senator Helen Coonan, Australia’s minister for revenue and assistant treasurer, announced on March 1 2004 that the government will introduce legislation to change the interest withholding tax (IWT) exemptions for payments relating to offshore borrowing
    March 14 2004
  • Court dismisses Three Rivers appeal
    The UK Inland Revenue's powers to investigate taxpayers has received a boost after the Court of Appeal in London rejected the Bank of England's appeal in its case against the Three Rivers Council that legal advice privilege does not extend to strategic advice over how to present evidence. The appellants also failed to establish that the communications between the bank and its lawyers were covered by litigation privilege.
    March 14 2004
  • Kuwait considers corporate tax cut for foreigners
    The country's parliamentary finance and economics committee has approved a Bill to reduce the top corporate tax rate from 55% to 25%. The Bill, part of an overall economic stimulus package focussed on encouraging foreign investment will soon go before parliament for approval.
    March 14 2004
  • Bank transactions tax hurts business in Peru
    Just 11 days after it came into effect, the 0.15% tax on banking transactions in Peru is having a marked negative effect on business in the country according to the Lima Chamber of Commerce. On March 4 2004 the chamber claimed that Peru's average foreign exchange volume has dropped by 43% since the introduction of the tax. Many companies complain they are forced to pay the tax over and over again through their supply chain.
    March 14 2004
  • ECJ rules in taxpayer’s favour
    The European Court of Justice ruled on March 11 2004 in favour of the taxpayer declaring French residential exit tax due by an individual, Monsieur de Lasteyrie du Saillant, to be in breach of the EC Treaty. The case confirms the court's commitment to the principle of freedom of establishment contained in the treaty.
    March 14 2004
  • Bush nominates next IRS Chief Counsel
    On March 8 2004 the US Senate Committee on Finance considered the nomination of Donald Korb, President Bush's nominee for the position of IRS Chief Counsel. Korb, now a partner with Thompson Hine in Cleveland, was assistant to Commissioner Roscoe Egger in the mid-1980s when the IRS spearheaded an attack on tax shelters. Korb vowed to continue the struggle against tax shelters during his testimony. Korb's nomination will still require confirmation from the Senate.
    March 14 2004
  • UK update: Real estate investment trusts planned
    In the pre-Budget speech in December 2003, UK real estate investment trusts (REITs) moved one step closer with an endorsement from the Chancellor, Gordon Brown, who confirmed that a consultation document on REITs would be issued with the Budget in March this year
    March 14 2004
  • Italian update: New group company rules bring up permanent establishment issues
    Legislative Decree 6 of January 17 2003, reforming Italian company law, with effect from January 1 2004, introduced in the Italian Civil Code (the ICC) specific rules related to groups
    March 14 2004
  • German update: Value-added tax invoicing changes
    Germany enacted many changes in its value-added tax (VAT) law in December 2003
    March 14 2004
  • EU ministers reject Swiss stalling on savings tax
    European Union finance ministers in Brussels increased pressure on Switzerland to sign an accord on offshore tax fraud at the monthly Ecofin council meeting on March 9 2004
    March 14 2004
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