Monthly Archives August 2011

Tax Debates Follow NZ Earthquake

August 31, 2011 Taxation in New Zealand

New Zealand Earthquake LevyTaxes are coming under the spotlight in New Zealand, as the recovery bills following the country’s recent earthquakes are revised upwards.

The possibility of a temporary earthquake relief tax is back on the table in New Zealand, as the costs of rebuilding private housing alone in the quake struck areas alone are revised from NZD 4 billion to NZD 7.1 billion.

On August 30th the Finance Minister of New Zealand Bill English revealed the newly recalculated costs for the New Zealand earthquakes, saying that initial estimates were far below reality, and it is estimated that the cumulative costs for the government could now run as high as NZD 12.1 billion.

The Minister said that the government had not prepared for such high recovery costs, and efforts would now be expanded to find new and via...

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Italy Rethinks Solidarity Tax

August 30, 2011 Taxation in Italy

Silvio Berlusconi Announces Solidarity ChangeWealthy Italians are breathing a sigh of relief, as the Prime Minister announces changes to the country’s current austerity plans, which will see the removal of a proposed temporary solidarity tax on high income earners.

In an effort to round up more support for the Italy’s proposed austerity plans, on August 29th the Prime Minister Silvio Berlusconi and Finance Minister Giulio Tremonti met with Umberto Bossi, leader of their coalition ally the Northern League party.

Following the seven hour long meeting, the Prime Minister’s office released a statement announcing that the proposed solidarity tax on wealthy individuals was no longer a part of the country’s tabled austerity package...

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Financial Transaction Tax, Again?

August 29, 2011 International Tax CooperationTaxation in EU

Francois BaroinFrance and Germany will once again take up the banner of global financial stability, with plans to re-propose the idea of a financial transaction tax at the upcoming G20 summit in November.

In an interview published by French media on August 28th the Finance Minister of France Francois Baroin said that representatives from the German and French governments are now working on a new proposal for a international financial transactions tax.
The Minister said that the governments of France and Germany are determined to see positive results and progress for their joint proposal before the end of the year. Technical details of the tax are expected to be finalized within a month, and be presented to the European Union by the end of September.

In the past the European Central Bank President Jean...

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Peru To Charge Another Tax on Mines

August 26, 2011 Taxation in Peru

New Tax on Mines in PeruPeru is set to see nearly PEN 3 billion in new tax revenues every year, as the government announces a new mining tax to be imposed in the country.

In an address to the Congress of Peru on August 25th the country’s Prime Minister Salomon Lerner Ghitis said that an agreement has been reached with the nation’s mining sector regarding the issue of a new windfall tax. The new tax comes as a fulfillment of the campaign promises made by President Ollanta Humala to raise new funds for development projects around the country.

In the near future mining companies operating in Peru will face an extra windfall tax, and the new levy will be charged on companies’ operating profits...

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France’s Richest Taxpayers Plead for Extra Tax

August 25, 2011 Taxation in France

French call for New High Income taxSome of France’s wealthiest individuals have called for the government to instate a one time tax on the ultra-rich, to aid the country’s financial situation.

In an open letter publicised on August 23rd some of France’s wealthiest taxpayers claimed that they would rather pay an extra one time tax than see the country undergo extensive austerity measures and spending cuts. It was explained that such a tax would also be preferable to seeing permanent cut being instated to tax exemptions enjoyed by high income earners.

The letter was accompanied by a petition signed by 16 of the wealthiest people in France. Amongst the signatories was L’Oréal heiress Liliane Bettencourt, along with some of the country’s most prominent corporate executives.

According to local taxation experts, the signatorie...

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