The recently proposed rate change to Capital Gains Tax (CGT) in the UK is coming under doubt as economists, finance industry figures and numerous politicians are beginning to voice their concerns for the raised levy. Following the UK’s May 6th General Election, a coalition was formed between the Conservative Party and Liberal Democrats. The new coalition soon announced several proposed changes to the country’s tax system, including a controversial increase in the CGT rate. If the planned changes are enacted, CGT in the ... Read More

Recent research indicates that the proposed increases to the UK’s Value Added Tax (VAT) rate would dampen consumer spending by GBP 3.6 billion, while lowering national employment by 163,000 over the same period. On May 27th the British Retail Consortium (BRC) released a statement detailing the alleged future economic effects of the Government’s proposed 2.5 percent VAT rate increase. The BRC claims that the rate change would decrease the Government’s deficit by approximately GBP 11.3 billion within its first year, but at a ... Read More

The International Monetary Fund (IMF) has published a new paper on the potential effect of further fiscal policy changes in the future growth of the New Zealand economy. On May 26th the IMF published The Potential Contribution of Fiscal Policy to Rebalancing and Growth in New Zealand, a working paper dealing with possible New Zealand fiscal policy rebalancing. The paper stated that New Zealand has weathered the global economic recession relatively well, but will continue to suffer from persistent current account deficits. New ... Read More

The Greek Government has set out to deliver vast improvements to the integrity of its national tax administration department. The efforts have been initiated with the investigations and dismissal of employees suspected of tax evasion, corruption, smuggling, and other illegal activity. On May 25th the Finance Ministry of Greece announced a set of sweeping investigations and terminations into employees suspected of illegal activities. According to a statement released by the Ministry, 20 tax-office directors have already been fired for failing to meet preset ... Read More

The Government of Argentina recently revealed its latest tax collection figures, showing a 30.7 percent increase in collections for the month of April. On May 24th the Argentinean tax administration Administración Federal de Ingresos Públicos (AFIP) published the Government’s tax collection results. In April the Government collected ARS 30.1 billion (approx. USD 7.75 billion), representing a 30.7 percent increase from April 2009. Cristina Fernandez, President of Argentina, called the latest results “historic”, and further claimed that the increase displays the effectiveness and appropriateness ... Read More