Monthly Archives April 2013

Turkey Eyes Repatriation Tax Break

April 26, 2013 Taxation in Turkey

Recep Tayyip ErdoganISTANBUL – Turkey is looking to claw back over TRY 130 billion in funds via a new amnesty program which encourages reparation of funds which are currently held overseas.

On April 24th a new bill was tabled in the parliament of Turkey, setting out a proposal to enact new regulations for the repatriation of capitals and assets held overseas by Turkish taxpayers.

Under the newly proposed rules, funds brought into the country by local taxpayers will be taxed at only 2 percent.

According to the Prime Minister of Turkey Recep Tayyip Erdo?an, the government will not conduct investigation into the source of funds when they are declared, and no further investigations will be launched in the future in regards to the repatriated capitals.

It is expected that the loosened rules will lead directly to t...

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EC Launches New Anti-Tax Evasion Platform

April 25, 2013 International Tax CooperationTaxation in EU

European CommissionBRUSSELS – The fight against international tax evasion will be taken up a notch as the EC launches a new group to monitor the international fight against tax.

On April 23rd the European Commission launched the Platform for Tax Good Governance, a new initiative which is intended to “…serve as a forum to coordinate and develop the best possible defence against tax evasion, tax avoidance and tax havens.”

The Platform will be comprised of representatives of tax authorities from participating countries, NGOs, research institutes and some multinational businesses.

Explaining the purpose behind the Platform, the Commissioner for Taxation of the European Commission said that the Platform will monitor the progress made by tax authorities around the world towards implementing more effective ru...

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Taxes in Canada Jump 1,787 Percent

April 24, 2013 Taxation in Canada

Tax Day in CanadaVANCOUVER – The taxes paid out by Canadian families are now at the highest level since the 1960s, and tax obligations are currently the biggest expense imposed on households in the country.

Over the last five decades, since 1961, the average tax liabilities faced by a household in Canada has grown by 1 787 percent, according to the results of new research published by the Fraser Institute earlier this week.

In 2012 approximately 42.7 percent of the income of an average family in Canada went towards paying their tax obligations.

Comparatively, an average family will direct approximately 36.9 percent of its income towards covering the cumulative cost of food, housing and clothing.

The growth of the total tax liabilities has also exceeded the growth of the national consumer price index, which...

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IRS Refuses Rewards to Informant

April 23, 2013 Taxation in USA

Whislteblowing to the IRSWASHINGTON D.C. – Whistleblowers in the USA are confused by the IRS’s decision to reject a reward to one of the most prominent whistleblowers in recent years.

Early last week the US Internal Revenue Service rejected a claim for a monetary reward made by a former executive at Rabobank Joseph Insinga for providing the IRS with information regarding alleged tax evasion committed by his former company.

The letter from the IRS explained that Joseph Insinga is not entitled to any payout as the information he provided did not lead to the collection of any extra taxes.

Last year he took legal action against the IRS, claiming that the Service had not processed his application for a reward for several years, despite the fact that the original tips were provided in 2007.

Under regulations enacted in...

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Illegal Cigarettes in Europe Dwindle Tax Revenues

April 22, 2013 Taxation in EU

Taxes on CigarettesNEW YORK – Over the last three years the EU has lost out on more than EUR 30 billion in tax revenues, as more and more taxpayers choose to purchase cigarettes of the black market.

The consumption of counterfeit and contraband cigarettes in Europe continued to rise for the sixth year in a row, leading to billions in lost tax revenues, according to a report commissioned by the international cigarette manufacturer Philip Morris International.

According to information in the report, in 2012 nearly 65.5 billion illegal cigarettes were purchased in Europe, accounting for over 11.1 percent of all cigarettes consumed in Europe, compared to approximately 10.4 percent in 2011.

Cumulatively the EU lost an estimated EUR 12...

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