February 23, 2017 Taxation in Hong Kong
On February 22nd the Finance Secretary of Hong Kong Paul Chan Mo-po announced that the government will be drastically cutting back on the tax exemption offered on the registration of electric vehicles, as such vehicles have become popular enough to no longer warrant heavy tax breaks.
Private vehicles being registered in Hong Kong are levied with a tax based on the value of the car, with the first HKD 150 000 of a car’s value taxed at 40 percent, with 70 percent charged on the next HKD 150 000, an additional 100 percent on the next HKD 200 000, and a final 115 percent on the remaining value.
Electric vehicles have been exempt from the taxes since 1994.
February 22, 2017 Taxation in Saudi Arabia
On February 20th, the Council of Ministers of Saudi Arabia granted permission to the national Ministry of Finance to set a date for the implementation of selective taxes on cigarettes and soft drinks.
The new taxes are part of an agreement made by all the national of the Gulf Cooperative Council in 2015 to begin implementing a uniform tax system across the nations.
The tax measure was approved in Saudi Arabia in late 2016.
Saudi Arabia is the first country in the GCC to have gone so far as to allow their Ministry of Finance to set a date for the implementation of the selective taxes.
The taxes in question will see a 100 percent ...Read More
February 21, 2017 Taxation in Australia
A new report in Australia with contributions from over 100 nutrition experts from across 53 organizations is calling for a raft of new measures aimed directly at tackling the country’s growing obesity epidemic.
One of the key proposals in the report was the introduction of targeted taxes on sugar-filled foods and beverages, including sugary drinks, a food item that has been the targeted of taxes and tax discussion around the world.
The tax was not the only suggestion in the report, and among the 46 other points raised were complimentary measures such as restricting advertising on junk food, restricting the sale of junk food at...Read More
February 20, 2017 Taxation in Philippines
Over the course of the last week significant controversy has arisen over a proposal by the government of the Philippines to introduce a new tax on the sale of automobiles in the country.
The new tax was proposed as part of a wider plan by the government to shift the national tax system to a low-rate wide-base system, which would see taxes charged at a lower rate but on a greater number of items and transactions.
The government hopes that by raising the taxes on cars, it will be able to reduce the taxes levied on personal incomes.
Currently the taxes on the sale of cars in the Philippines are staggered, with a base fee determined by the value of the car, and an ad...Read More
February 20, 2017 International Tax Cooperation
In a new interview, the technology leader and philanthropist Bill Gates advocated for income taxes to be applied on robots and other technology which take over the roles of humans.
Bill Gates explained that an average worker pays a significant amount of income tax, social security, and other taxes on the incomes that they earn from carrying out work.
However, if a business was to replace the human worker with some automation technology, the machine would not be paying any taxes, despite carrying out the same work.
The decrease in tax revenues is likely to have a negative effect on the ability of governments to fund social infrastructure and s...Read More