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  • China has a stated policy to encourage investment in the hi-tech industries and, as a result, a variety of special concessions are on offer to foreign investors. By Yunfang Wendy Guo, KPMG, New York
  • Effective October 1 2001, the Japanese Commercial Code was amended to allow companies to acquire treasury stock, regardless of the purpose of the acquisition, and to hold such shares without being subject to any requirement for immediate redemption or disposition. Previously, companies were prohibited from acquiring and holding treasury stock, apart from in exceptional circumstances such as, for example, share retirement.
  • Argentina's tax system is being looked into following the country's currency devaluation and economic problems.
  • Three years after it was announced, the eagerly awaited corporate tax reform has been enacted in Luxembourg. The reform package was approved on December 21 2001 and came into effect on January 1. Included in the package is a reduction of the overall corporate tax rate on income from 37.45% to 30.38%.
  • Members of the international community are fighting for their share of the e-commerce tax pie. A specialist committee in India has concluded that there is a need to ensure an equitable sharing of revenues between residence and source countries. By Vispi Patel, Deloitte Haskins & Sells, Mumbai
  • Foreign investors in venture capital funds investing in Israeli hi-tech companies are to benefit from an exemption from Israeli tax. But until detailed qualifying conditions are issued, a degree of uncertainty remains. By Dr Avi Alter and Zvi Altman, tax law offices of Dr Avi Alter & Co, Tel Aviv
  • DATE TYPE OF DEAL VALUE TARGET ACQUIRER / ISSUER HOLDER / UNDERWRITER ADVISERS TO TARGET ADVISERS TO ACQUIRER / ISSUER ADVISERS TO HOLDER / UNDERWRITER 15/11/01 acquisition $825 million IT disaster recovery
  • Although the German authorities may be slow to adopt key decisions, ECJ judgments have a key impact on the VAT regime for financial services in Germany. By Wolfgang Oho and Carsten Schmidt, Andersen, Frankfurt
  • Tax reform is urgently needed in Israel. While it is not the main obstacle impeding foreign investment in the country and creating difficulties for business, it is undoubtedly a key issue. Prime minister Ariel Sharon's announcement that a committee is to be set up to look at reforming the taxation system in the country indicates that it is a problem the government is keen to resolve. But doubts remain as to whether the political environment in the country will allow the much-needed reform to take place.
  • Repayment of charges levied in breach of Council Directive 69/335/EEC of 17 July 1969 concerning indirect taxes on the raising of capital – Charge for entry on the Register of Companies – Time-limit – Determination with retroactive effect of a flat-rate charge – Rate of interest.