Monthly Archives February 2017

Hong Kong Drops Tax Breaks on EVs

February 23, 2017 Taxation in Hong Kong

EV Tax BreaksHONG KONG – The “beacon city for electric vehicles” has now dimmed, as Hong Kong drops its generous tax break on electric cars.

On February 22nd the Finance Secretary of Hong Kong Paul Chan Mo-po announced that the government will be drastically cutting back on the tax exemption offered on the registration of electric vehicles, as such vehicles have become popular enough to no longer warrant heavy tax breaks.

Private vehicles being registered in Hong Kong are levied with a tax based on the value of the car, with the first HKD 150 000 of a car’s value taxed at 40 percent, with 70 percent charged on the next HKD 150 000, an additional 100 percent on the next HKD 200 000, and a final 115 percent on the remaining value.

Electric vehicles have been exempt from the taxes since 1994.

Howev...

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Cigarettes and Soda to be Taxed in Saudi Arabia

February 22, 2017 Taxation in Saudi Arabia

Cigarettes in Saudi ArabiaRIYADH – Saudi Arabia is taking steps to raise revenues which are not reliant on oil, with cigarettes and soft drinks set in the sights of the tax authorities.

On February 20th, the Council of Ministers of Saudi Arabia granted permission to the national Ministry of Finance to set a date for the implementation of selective taxes on cigarettes and soft drinks.

The new taxes are part of an agreement made by all the national of the Gulf Cooperative Council in 2015 to begin implementing a uniform tax system across the nations.

The tax measure was approved in Saudi Arabia in late 2016.

Saudi Arabia is the first country in the GCC to have gone so far as to allow their Ministry of Finance to set a date for the implementation of the selective taxes.

The taxes in question will see a 100 percent ...

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Sugar Taxes Back on the Table in Australia

February 21, 2017 Taxation in Australia

Sugar tax in AustraliaCANBERRA – Academics and nutritionists in Australia are calling for a sugar tax, however, many politicians are standing up in staunch opposition to the proposal.

A new report in Australia with contributions from over 100 nutrition experts from across 53 organizations is calling for a raft of new measures aimed directly at tackling the country’s growing obesity epidemic.

One of the key proposals in the report was the introduction of targeted taxes on sugar-filled foods and beverages, including sugary drinks, a food item that has been the targeted of taxes and tax discussion around the world.

The tax was not the only suggestion in the report, and among the 46 other points raised were complimentary measures such as restricting advertising on junk food, restricting the sale of junk food at...

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Car Tax Hikes Loom in the Philippines

February 20, 2017 Taxation in Philippines

Taxes on cars in the PhilippinesMANILA – Taxes on cars sold in the Philippines may soon be doubled, and, unsurprisingly, the possibility is facing opposition.

Over the course of the last week significant controversy has arisen over a proposal by the government of the Philippines to introduce a new tax on the sale of automobiles in the country.

The new tax was proposed as part of a wider plan by the government to shift the national tax system to a low-rate wide-base system, which would see taxes charged at a lower rate but on a greater number of items and transactions.

The government hopes that by raising the taxes on cars, it will be able to reduce the taxes levied on personal incomes.

Currently the taxes on the sale of cars in the Philippines are staggered, with a base fee determined by the value of the car, and an ad...

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Tax the Robots, Says Bill Gates

February 20, 2017 International Tax Cooperation

Taxes on robotsWASHINGTON D.C. – Robots workers should be taxed at the same level as human workers, according to one of the world’s most prominent tech leaders.

In a new interview, the technology leader and philanthropist Bill Gates advocated for income taxes to be applied on robots and other technology which take over the roles of humans.

Bill Gates explained that an average worker pays a significant amount of income tax, social security, and other taxes on the incomes that they earn from carrying out work.

However, if a business was to replace the human worker with some automation technology, the machine would not be paying any taxes, despite carrying out the same work.

The decrease in tax revenues is likely to have a negative effect on the ability of governments to fund social infrastructure and s...

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