May 23, 2016 Taxation in India
NEW DELHI – Tax breaks are needed to help ease the effects if the ongoing spikes in the prices of lentils and beans in India.
Over the weekend the Food Minister of India Ram Vilas Paswan announced that the government has requested all state government to temporarily cease levying value added tax on the sale of pulses.
The Minister explained that the price of pulses in India have been rising recently due to significant shortfalls between the supply and demand for the foodstuff.
He added that in some areas traders and distributors of pulses are capitalizing on the shortages by hoarding vast amounts, and waiting for further price increases.
Pulses in India fall under a state-level VAT charged at a rate of between 5 percent and 7 percent.
Pulses, such as lentils and beans, are a staple ingre...Read More
May 21, 2016 Taxation in Pakistan
ISLAMABAD – Pakistan’s tax authority needs to try and foster more trust with taxpayers by dropping tax rates.
At a meeting of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) on May 20th the President of the FPCCI Riaz Khattak called on the government to reduce the rates of sales tax and direct taxes.
Riaz Khattak claimed that currently only 3 percent of the population of Pakistan pay any sales tax, bringing in a total of approximately PKR 300 billion per year.
He added that if the rate of the tax was reduced by 7 percent on all goods and services, the total collected could even be tripled, rising to as much as PKR 900 billion.
The President of the FPCCI also claimed that the government should introduce flat rates of tax for all business sectors, a move which will help...Read More
May 19, 2016 International Tax Cooperation
GENEVA – The World Health Organization could soon charge a global tax on international business transaction, in a new bid to raise funds to pay for greater medical access around the world.
As part of his announcement of candidacy to the post of Director-General of the World Health organization, Philippe Douste-Blazy, has suggested that a new global tax should be implemented to help raise funds to fight diseases and improve healthcare worldwide.
Philippe Douste-Blazy did not detail exactly how his proposed tax would work, but indicated that it would be in the form of a “micropayment” on a yet-to-be-determined international business transaction.
The funds raised from collection of the tax would be used by a new “innovative financing department” to provide backing for new projects for th...Read More
May 18, 2016 International Tax Cooperation
LONDON – Tax breaks for charitable giving need to be easier to access in order to encourage greater levels of charitable giving around the world.
Tax incentives for charitable donations are an effective method of encouraging greater levels of giving, however, in many countries, the process of claiming tax credits is often aimed at corporations and wealthy individuals, according to the results of new research released on May 17th by the UK-based Charities Aid Foundation (CAF).
It is estimated that two thirds of countries in the world offer some form of tax incentives for donations to charities.
Tax incentives greatly increase the chance that donations would be made to charities, with taxpayers being 12 percent more likely to make donations of tax incentives are on offer.
However, it was no...Read More
May 17, 2016 Taxation in Australia
CANBERRA – Australia is looking to cut corporate taxes to boost business activity, investment and employment levels, but the move may actual result simple in more taxes being paid in the USA with no benefit to Australia.
Cutting the rate of corporate tax in Australia will result in a rise in tax revenues in the USA, according to the result of new research released on May 16th by the Australia Institute.
Currently, the tax agreement between Australia and USA requires any US company operating in Australia to pay the difference between the tax in one country and the tax rate of the other country.
The standard corporate tax rate in Australia is 30 percent, while the rate in the USA is 35 percent, meaning that any US company operating in Australia still needs to pay 5 percent taxRead More