Monthly Archives February 2014

Taxing the Rich Helps the Economy

February 28, 2014 International Tax Cooperation

WASHINGTON D.C. – New research indicates that imposing higher taxes on the wealthy to help the poor may be a good economic policy.

On February 26th the International Monetary Fund released a new report showing tax breaks, concessions, allowances and tax cuts aimed at helping low and middle income earners may in fact be good for the economy, helping boost growth and sustainability, while reducing economic inequality.

According to the authors of the report, the findings of their research indicate that countries which implement policies to increase wealth distribution through taxation saw an increase “pace of medium-term growth and of the duration of growth spells.”

The authors noted that it is commonly believed that reducing economic inequality through taxation will cripple economic gro...

Read More

Multinationals Overuse Ghana’s Tax Incentives

February 27, 2014 Taxation in Ghana

Tax Incentives in GhanaACCRA – Ghana’s reliance on tax incentives is draining the national coffers while hurting the country’s standing with its neighbors in the region.

The preliminary results of a new study being conducted by Action Aid Ghana are showing that since the year 2000 the national government has spent approximately USD 1.2 billion annually on tax incentives for multinational businesses in an attempt to attract greater levels of foreign direct investment.

The new data was presented by Action Aid and the Integrated Social Development Center at a national conference on February 26th aimed at encouraging the media to take a stronger stance against some of the perceived exploitation of the country by international corporations.

The results of the study indicated that the amount given out each year in...

Read More

Kenya Will Improve Tax System

February 26, 2014 Taxation in Kenya

Taxes in KenyaNAIROBI – The government of Kenya will attract new investors into the country using tax breaks, a revamped tax system, and a new tax filing process.

In a statement made at the State House on February 25th the President of Kenya Uhuru Kenyatta that the government is looking to make new changes to the national tax system, on top of several updates already made this year, in order to attract more foreign investors, and to ensure that the country is the primary business hub of the region.

According to the President, the government will eliminate selected tax rules which currently result in double taxation for multinational firms operating in Kenya, and a plethora of complimentary legislative changes and updates will also be made to significantly reduce the administrative and taxation barriers...

Read More

UK to Publicly Ridicule Offshore Tax Evasion

February 25, 2014 Taxation in UK

HMRC campaignLONDON – UK tax authorities are flaunting their greater ability to track down international tax evaders due to increasing international tax cooperation.

On February 24th the HM Revenue and Customs (HMRC) launched a new public campaign to increase awareness of the problem of revenue loss from offshore tax evasion, and to also encourage the evaders to come forward and fulfill their obligations in the UK.

According to the HMRC, by starting the program they are declaring that “…the days of hiding money in another country to cheat the UK are coming to an end,” and assured the public that “…the UK government is on the side of the hardworking majority of people and companies who pay the tax they owe.”

Heralding the launch of the new program, the Chancellor of the Exchequer George Osbo...

Read More

G20 Plans More Action Against Tax Evasion

February 24, 2014 International Tax Cooperation

International taxationSYDNEY – The G20 has pledged to implement new cooperative measure to help fight the occurrence of international tax evasion.

The countries of the G20 have confirmed their support of the OECD’s Action Plan to fight Base Erosion and Profit Shifting (BEPS), and within a matter of months will collectively outline steps to enforce stronger tax information sharing standards, according to a communique released on February 23rd following a meeting of Finance Ministers of G20 countries.

As a direct result of the discussions held at the meeting, by November 2014 all member nations “…will start to deliver effective, practical and sustainable measures to counter BEPS” in order to enforce the fundamental principal, which all G20 countries have agreed to follow in the future, that “…profits should ...

Read More