The New Zealand branch of Westpac Banking Corp has been found guilty by the New Zealand High Court of tax evasion, the legal action concerns a total of NZD918 million. Court proceedings revolved around adjustments made to returns filed by Westpac in which a number of transactions were claimed and used to reduce the overall tax liability. The IRD contested that these were carried out purely with the purpose of tax evasion and subsequently assessed the bank’s tax liability higher. The ... Read More

According to latest reports published by Internal Revenue Service (IRS) the government’s tax revenue fell 25%, compare to the same period last year. The corporate taxpayers paid 56% less, while individual taxpayers payed 20% less. Taking in consideration such significant drops, the Congressional Budget Office estimates that only 14.3% of GDP this year will come from the tax collection. Historically, USA enjoys approximately 18% of GDP from tax revenue. According to experts, the predominant cause behind the tax revenue downfall is the present ... Read More

The Cayman Islands government has tabled a new budget which proposes to raise taxes and fees for the nation, though this has ensured the approval of the British government in attaining the loans necessary for the ailing jurisdiction. In the face of a KYD40.8 million fall in revenues and a KYD56.2 million escalations in expenditure, the Cayman Islands government had sought assistance in the form of loans. Permission to increase the British jurisdiction’s debt balance was denied by the British government. It ... Read More

The newest Italian Tax Amnesty Program has been written into law, yet is judged to be a risk to the country by Fitch Ratings. Italy, which according to an Associazione Contribuenti Italiani and Klrs Network of Business Ethics survey has EU’s highest levels of tax evasion, has approved its third tax amnesty program in eight years. The 2nd of October saw the Italian parliament pass the tax amnesty proposal with 270 affirmative and 250 negative votes. It was signed into law by ... Read More

The UK Conservative Party has announced a proposal under which taxes would be cut for firms creating new jobs. Hints have also been given regarding the cut of UK’s 50% top personal tax bracket. George Osborne, UK Conservative Party member and Shadow Chancellor of the Exchequer, stated on the 5th of October that under a Conservative Party government, employers would not be required to pay National Insurance contributions for two years. Cutting the levy, which amounts to 12.8% of an employee’s salary, is ... Read More

Following a European Court of Justice (ECG) ruling, the UK Government has ceased levying 1.5% on all shares issued or transferred to a clearance service by British companies, internationally. The 1st of October saw the ECG rule against the HM Revenue & Customs (HMRC), saying that the 1.5% Stamp Duty Reserve Tax (SDRT) is against European Community Law. The tax was levied on British companies which issued or transferred securities through a clearance service within the EU or the US. Typically such a ... Read More

Figures released by the Internal Revenue Service (IRS) show a significant increase in the number of American citizens providing information on underpaid taxes of other's. The IRS Whisltleblower Office, in its Annual Report to Congress, released October 1st, has stated that 1,246 individual cases have been brought forward throughout the 2008 fiscal year with information regarding tax evaders and individuals committing significant levels of tax fraud. Of the 1,246 cases brought forward, 994 made specific allegations regarding the amount of tax evaded, ... Read More