Yearly Archives 2011

Lower VAT in Bulgaria

December 30, 2011 Taxation in Bulgaria

3rd of March 2011SOFIA – Bulgaria will lower its value added tax rate in 2012, although the government will not yet specify the date or extent of the reduction.

In a televised interview on December 29th the Deputy Prime Minister of Bulgaria Simeon Djankov confirmed that the government will lower the national value added tax rate by either 1 or 2 percent in 2012.

The upcoming changes will come as part of the government’s pledge to decrease the value added tax rate to 16 percent by 2015, from the current rate of 20 percent. The Prime Minister explained that the government will aim to cut the tax rate by a maximum of 2 percent, but will only do so if fiscal conditions allow.

The Prime Minister did not to specify when the tax rate change will tax place, and said that the government will give very little prio...

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Lower Taxes for Business in China

December 29, 2011 Taxation in China

Fresh thingsBEIJING – Chinese policymakers have revealed the government’s plans to lower tax obligations and increase public spending.

On December 26th at a budget meeting held in Beijing, Chinese policymakers outlined the government’s plans for spurring economic growth in 2012, confirming that public spending will be increased and new tax changes will be instated to help small businesses in the country.

Throughout 2012 the government will increase spending on social security, housing projects, education, healthcare, and other measures aimed at boosting economic productivity and national welfare. During a speech delivered at the meeting the Vice Premier Li Keqiang said that in 2011 government spending grew by 24.3 percent compared to 2010, to a total of RMB 8...

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UK Tax Rules Draw Property Investors

December 26, 2011 Taxation in UK

Property tax in London
LONDON – London’s reputation as an international metropolitan center brought swarms of overseas investors to the city in 2011 in the search for real estate, but the use of overseas companies has allowed the buyers to skip out on nearly GBP 750 in taxes for the purchase.

In 2011 foreign residents purchased GBP 4.3 billion worth of real estate in the city of London, and the current tax rules in the UK meant that the properties were levied at a reduced tax rate, costing the HM Revenue and Customs over GBP 750 million in lost tax revenues. Under current regulations, properties worth over GBP 1 million which are purchased by a foreign company are only subject to a 0.5 percent stamp duty, compared to the regular stamp duty rate of 5 percent.

According to experts, more than 65 percent of all ...

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Italy Passes Austerity Package

December 23, 2011 Taxation in Italy

Austerity Package PassedROME – Italy has approved its long discussed austerity package, which introduce new taxes and changes to economic policies.

At a session of the Senate of Italy on December 22nd, Italian policymakers gave final approval to a proposed austerity package aimed at eliminating the country’s budget deficit by 2013 and injecting new life into the economy.
The austerity measures will include a new tax on all real estate in Italy, including residential and commercial properties.

Also, the national retirement age will be raised to 66 for men and 62 for women.

The government will also implement several new initiatives and programs aimed at curtailing the occurrence of tax evasion in Italy.
In an effort to directly stimulate the economy and raise employment levels, the government will now offer tax ...

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Malaysia to See Tax Collection Boost

December 22, 2011 Taxation in Malaysia

Tax Revenue in MalaysiaKUALA LUMPUR – Malaysia will see a significant boost to its tax revenue levels, due to the government’s efforts to stamp out illicit capital outflows.

At a press conference held on December 21st in Kuala Lampur, the Prime Minister of Malaysia Najib Razak stated that the Inland Revenue Board expects to collect approximately MYR 98 billion in tax revenues this year. The new projection is approximately MYR 7 billion higher than forecasted by the government earlier in the year. If the expectations are realized, then the government will collect MY 20 billion more than the previous year.

The Prime Minister said that the increased revenue will be a direct result of the government’s push towards stamping out tax evasion...

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