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  • Abroad reform of the Italian corporate tax system has been carried out by Legislative Decree 344 of December 12 2003, which amended Presidential Decree 917 of December 22 1986 (the Italian tax code or ITC) pursuant to Delegation Law 80 of April 7 2003. The new Italian corporate income tax (IRES) will be effective from the first fiscal year beginning on or after January 1 2004.
  • The government delivered an early Christmas present for business when it delivered on some of their concerns by renovating the new tax consolidation regime to tailor it more closely to their needs.
  • Spain has introduced a new tax and regulatory regime to deal with foreign capital movement. Carlos Albiñana of Allen & Overy believes the law could be strengthened
  • A UN meeting of tax experts has proposed setting up a new body covering international tax called the UN Fiscal Committee.
  • The government of Brazil has added a section to its provisional measure 135 that increased the rate from 15% to 25% on capital gains earned by a resident or a party domiciled in a low-tax jurisdiction. The rate increase took effect on 1 January 2004
  • The UK Inland Revenue has announced measures to crack down on a scheme to avoid income tax used by individuals that involves setting off strips of government bonds against other income. Strips are securities that pay the owner either the interest due on an individual bond or the principal due when a bond is redeemed. The new legislation was effective immediately when it was released on January 15 2004.
  • The Belgian government has issued a royal decree implementing the European Commission's Interest and Royalty Directive of June 3 2003 into Belgian domestic law. The decree provides an exemption from withholding tax on interest and royalty payments between related EU companies, effective from 1 January 2004.
  • Big four accounting firm KPMG on January 19 reported double-digit revenue growth for the fiscal year to September 30 2003. Despite a challenging year for the tax and accounting services profession, member firm revenues were $12.16 billion.
  • One of the first measures announced by the new administration elected in 2003 was a tax reform package mainly intended to combat tax evasion. The government made known its intention to reinforce the punitive legislation on tax crimes and submitted amendments to income tax.
  • The government has proposed generational changes to Australia's tax regime for both Australian resident and foreign multinationals. Alf Capito of Ernst & Young points out some of the benefits of the proposals