Monthly Archives November 2013

New Perks to Entice Taxpayers in Pakistan

November 29, 2013 Taxation in Pakistan

PakistanISLAMABAD – Pakistan is offering to taxpayers free passports, access to VIP lounges and complete immunity from audit checks to taxpayers who meet their obligations.

In an effort to spur greater amounts of foreign direct investment into the country and to help fight the endemic problem of tax evasion and non-compliance, on November 28th the Prime Minister of Pakistan Nawaz Sharif announced that the government will now offer a bevy of new tax incentives, exemptions and investment programs aimed directly at addressing the ongoing tax problems.

According the Prime Minister, starting next year, the 400 individuals who pay the most tax in Pakistan will be issued with Privileged Taxpayer Cards, allowing the holder to receive several government-paid privileges, including access to VIP lounges in ...

Read More

Canadian Authorities Can’t Handle Offshore Cases

November 28, 2013 Taxation in Canada

Canadians Face 1 700 Percent Tax Increase in Last 50 YearsOTTAWA – Canadian tax authorities been given both praise and warnings about their ability to adequately investigate cases of offshore tax evasion.

On November 26th the Office of the Auditor General of Canada released the annual Fall Report in which the Canadian Revenue Agency was praised for its handling of information leaked from Lichtenstein banking institutions in 2007 by Heinrich Kieber, a former employee at LGT Bank, but at the same time warned tax authorities that they are still not fully prepared to handle the amount of new information and to maintain the necessary levels of investigations arising from the increased level of tax data received from overseas.

In the report the Auditor General, Michael Ferguson, noted that the investigations conducted by the CRA into the offshore ta...

Read More

Scottish Independence Will Hike Taxes

November 27, 2013 Taxation In EuropeTaxation in UK

Scottish taxLONDON – The financial burden of Scotland’s independence will be borne by the country’s taxpayers, as they will face steep and permanent tax hikes within four years of the country leaving the UK.

In a letter dated November 26th the Chief Secretary to the Treasury Danny Alexander warned the First Minister of Scotland Alex Salmond that, according to the results of calculations completed by the Treasury, Scottish taxpayers would face a tax hike of approximately GBP 1 000 per person per year if Scotland obtains independence from the UK.

Scotland is scheduled to conduct a nationwide referendum on the question of national independence on September 18th, and if a clear approval is shown, the country could leave the UK within two years.

The Treasury’s warning comes the day before the government o...

Read More

Tax Raids Held in Israel

November 19, 2013 Taxation In AsiaTaxation in Israel

Jerusalem propertyJERUSALEM – Several hundred homes have been raided by tax authorities across Israel, in an effort to find tax evading property owners who don’t declare rental incomes.

Over the weekend the Tax Authority of Israel revealed that several raids and investigations were conducted by tax inspectors last week on affluent homes across the country in an effort to uncover evidence of tax evasion, especially instances of overseas-based landlords not reporting the rental incomes received from high-end properties.

Two separate raids were initially carried out on pre-selected homes in Tel Aviv and Herzliya Pituach, and several days later a further raid occurred in Ashdod.

According to the Tax Authority, over the course of the last raid, 200 homes were visited with specific requests for the occupier to ...

Read More

Ghana Increases VAT

November 18, 2013 Taxation In AfricaTaxation in Ghana

GhanaACCRA – In an effort to raise funds for social development and to reduce the country’s reliance on foreign aid, the government of Ghana has introduced a small hike to sales tax.

Late last week the parliament of Ghana voted on and approved a hike of 2.5 percent to the national value added tax, from the current rate of 12.5 percent to 15 percent.

The Deputy Finance Minister of Ghanna Cassiel Ato Forson said that even such a small increment in the tax rate could raise as much as GHS 745 million over the course of the 2014 fiscal year.

The extra funds raised through the hiked tax rate will be used specifically to finance new social infrastructure developments, such as new schools, roading, and healthcare facilities.

According to the Finance Minister, the rise will also help Ghana reduce it...

Read More