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  • Pamela Olson, assistant secretary of the treasury for tax policy, resigned her post on December 10 2003. Olson will continue in the post until after the budget for fiscal year 2005 to allow for a smooth transition.
  • Argentina has recently launched new thin-capitalization rules by reforming the Income Tax Law, effective October 22 2003
  • Three months after the landmark signing of the Closer Economic Partnership Arrangement (CEPA) between Hong Kong and China, the two governments have signed six annexes further clarifying the terms of the arrangement
  • The government of Peru announced an increase in the corporate tax rate on December 18 2003. Corporation tax was increased from 27% to 30% as of January 1 2004.
  • The US Treasury Department and the IRS issued guidance for tax advisers as part of their campaign against abusive tax avoidance transactions. The guidance provides a set of best practices to ensure that tax advisers adhere to the highest ethical standards and inform their clients of any potential risks in certain tax transactions.
  • The general rate of corporate tax in Canada fell from 23% to 21% on January 1 2004 as part of a larger programme of tax cuts begun in 2000 when the corporate tax rate was 28%. The Canadian government also reduced the corporate tax rate on resource income from 27% to 26%.
  • Brazil's Senate on December 22 2003 approved Provisional Measure 135, which changes COFINS (the contribution for the financing of social security, levied on gross receipts) into a non-cumulative tax and increases its rate to 7.6%.
  • Gary Richards, formerly of US law firm Weil Gotshal & Manges, joined Berwin Leighton Paisner (BLP) as a corporate tax partner on January 5 2004
  • The European Commission on December 23 2003 proposed shifting the place of supply of services for value-added tax (VAT) purposes from where the supplier is established to where the customer is located. The move is intended to avoid trade distortions within the European Union's internal market and simplify the application of VAT to services acquired by businesses.
  • Crosby Renouf, a new law firm based in Brussels, opened its doors on January 5 2003 specializing in EU law. The firm will also focus on tax services within the EU.