EU Banks Booking Profits in Tax Havens

March 27, 2017 International Tax CooperationOffshore Banking

Taxes on banksOXFORD – EU’s biggest banks are seeing millions of dollars being made in profits, in countries where they have no branches or staff.

According to the information contained a in a new report released by Oxfam International on March 27th, approximately a quarter of all profits and activity booked by the 20 biggest banks in Europe is booked through entities located in tax havens.

Oxfam suggested that the activity which is said to transpire in tax havens is actually booked through locations which have few, if any, any bank staff, and, therefore the proportion of profits moving through tax havens is well out of proportion to the economic realities of the bank’s business.

However, if the activity in the tax havens is real, then it would mean that the employees located in tax havens are, on a...

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GST Applies to Uber in Canada

March 25, 2017 Taxation in Canada

Taxes on Uber ridesOTTAWA – Uber users will soon be coughing up a little bit extra for their rides, as the Canadian government slaps GST on all ride-sharing services.

Uber and similar applications and services will soon fall under the scope of the Canadian GST system, according to an announcement made during the release of the latest national budget.

Currently, Uber and similar ride-hailing services in Canada do not fall under the scope of GST, unlike traditional taxis services.

According to the Finance Minister of Canada Bill Morneau, the move to apply GST to Uber rides already has precedent, as traditional taxis are taxed, meaning that the moves is “consistent with what Canadians expect”.

He added that the change is part of the government’s efforts to make the tax system fairer, more consistent, and ...

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Poland Eyes Detection System for Tax Cheating

March 23, 2017 Taxation in Poland

Tax collections in PolandWARSAW – Poland hopes to catch out tax cheats by automatically monitoring bank transactions for high risk deals.

The Finance Ministry of Poland has announced that it will soon establish an electronic verification system using bank data to catch out VAT fraud.

The new system is meant to catch out tax cheats who issue fake invoices in order to claim unwarranted tax VAT rebates.

The system will work by conducting risk analysis of transaction going through the national finance sector.

If initiated, the new system could be functional as early as June this year.

In the first year of operations, the tax system could help recover 10 percent to 15 percent of the fake tax claims.

Based on the estimated recovery rate, the government of Poland could see tax revenues rise by as much as PLN 600 mil...

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Indonesia Sees Tax Amnesty Success

March 22, 2017 Taxation in Indonesia

Indonesian tax amnestyJAKARTA – Indonesia has seen one of the most successful tax amnesties in the world, and is now looking to further step up its fight against tax evasion.

Indonesia has wrapped up its latest tax amnesty program, and has reportedly achieved stellar results, and now the government is looking to crack down on tax evaders who did not take advantage of the generous offer of amnesty.

Indonesia saw approximately 745 000 workers come forward to declare their previously hidden assets and income.

The value of the assets and incomes has been estimated to come to the equivalent of USD 330 billion.

Some experts have gone so far as to suggest that the results of the amnesty are the most successful in recent history.

However, now that the amnesty is complete, the government hopes that it can improve its ...

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Iceland Eyeing Tourist Taxes to Keep Tourists Away

March 21, 2017 Taxation in Iceland

Tourist Taxes in IcelandREYKJAVIK – Visiting Iceland may soon become more expensive, thanks to Game of Thrones.

In a recent interview the Minister of Tourism of Iceland Thordis Kolbrun Reykfjord Gylfadottir said that the government may soon look at implementing taxes on tourists or tourism businesses.

The tax is aimed at controlling the number of tourists coming to the country, while also raising tax revenues.

Iceland is seeing a surge in tourism in recent years, as in 2010 the country had approximately 459 000 international visitors, while it is estimated that by 2020 the level will rise to as much as 2 million people per year.

The spike in tourist numbers has been attributed to a devaluation of the national currency and a growing interest in the country due to appearances in several popular television shows, ...

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