Yearly Archives 2012

French Minister Confirms Transaction Tax in February

January 8, 2012 Taxation in EUTaxation in France

Financial transaction tax in FrancePARIS – France will soon implement a tax on financial transactions, and will not wait to see if similar measures will be instated by other countries across the European Union.

In a radio interview given on January 8th, Benoist Apparu, a Secretary of State of France, confirmed that a new bill will soon be presented to French parliament, introducing a financial transaction tax into the national tax system.

Benoist Apparu indicated that a bill with new tax may be tabled in parliament by the end of February, and a detailed proposal for the implementation of the tax may be completed by the government as soon as the end of this month, despite the fact that the government is yet to decided what transaction the new levy will apply to, and the mechanism for the tax has not yet been clarified.

The M...

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Spain to Instate Greater Tax Discipline

January 6, 2012 Taxation in Spain

Tax evasion in SpainMADRID – In 2012 the government of Spain will attempt to recover lost tax revenues by tackling tax evasion and conducting on-site inspections of businesses.

Speaking at a press conference following a meeting of the Cabinet of Spain on January 5th, the deputy Prime Minister of Spain Soraya Saenz de Santamaria confirmed that in 2012 the government will look to significantly cut public spending, and begin a renewed crack down on tax evasion carrying out a higher number of inspections of business places and closely scrutinizing businesses’ financial records.

The investigations conducted by tax authorities will pay particular attention to the payroll records of businesses, hoping to catch out employers paying employees in cash...

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Japan Can No Longer Delay Hiking Sales Tax

January 5, 2012 Taxation in Japan

sales tax in japanTOKYO – The economic situation in Japan can no longer allow a delay in raising the rate of the national sales tax, and an agreement on the issue needs to be reached by the end of the fiscal year in April.

On January 4th the Prime Minister of Japan Yoshihiko Noda held a press conference to mark the start of the new year, saying that the biggest hurdle for Japan at the moment is addressing the country’s overwhelming levels of debt and reaching an agreement on the issue of increasing the rate of sales tax.

Yoshihiko Noda said that Japan can no longer to postpone implementing a raised rate for the national sales tax, and a new bill to hike the tax will be submitted to Parliament by the end of the current fiscal year in April...

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President Confirms Tax Hike in France

January 4, 2012 Taxation in France

First day of 2008 at the Elysée Palace 2PARIS – France could soon implement tax changes in an aim to boost the national economy and increase the rate of employment in the country.

In a speech given in Paris on January 3rd, the President of France Nicolas Sarkozy confirmed that the country will soon see an increase to the national rate of value added tax and a reduction to the mandatory social security contributions paid by employers.

The VAT rate increase is aimed at raising extra revenues which will be used to fund the country’s struggling social security system, and the extra surplus will allow the French government to reduce the rate of employers’ payroll contributions. The President claimed that the changes will work in unison and boost the country’s economic production, increase the employment rate, and lower labor costs...

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Wealthy Koreans to Pay Higher Taxes

January 3, 2012 Taxation in South Korea

KRWSEOUL – Korea has instated a new income tax, which will raise tax liabilities for the country’s richest individuals.

On December 31st the National Assembly of Korea voted in a bill to introduce a new income tax bracket and a higher rate of income tax for the country’s highest earning taxpayers. The new tax rate of 38 percent will apply to individuals earning in excess of KRW 300 million annually. Previously, the highest individual income tax rate in Korea was 35 percent. It is currently estimated that the new tax will raise an additional KRW 770 billion in tax revenues per annum.

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