Monthly Archives March 2017

Tax Collections May Taper in New Zealand

March 15, 2017 Taxation in New Zealand

New Zealand Tax CollectionsWELLINGTON – As less tourist flock to New Zealand, and as the country’s housing boom dies down, the national government looks like it may soon see a drop in tax collections.

New Zealand’s continued higher-than-expected tax revenue results may not continue into the foreseeable future, according to information detailed in a new report released by the New Zealand Treasury.

Over the 12 month to December 2016, the tax revenues of New Zealand grew by 8.5 percent compared to the same period in the previous year.

The growth in tax revenues also outpaced the growth in the national GDP level, and similar growth levels have been seen over the last two years.

The primary drivers behind the higher-than-expected growth have been rises in the collection of GST and corporate income tax, and higher than...

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Taxes on E-Books Dropped in Brazil

March 14, 2017 Taxation in Brazil

tax on ebooksBRASILIA – Digital books and e-book readers in Brasil will soon be cheaper, as they have just received the same protection from taxation as physical books.

A new ruling by the Supreme Court of Brazil has enshrined the idea that digital books should enjoy the same tax treatment as their physical counterparts.

In September 2016 a debate began regarding the taxation of e-books, with some parties claiming that the digital products should not face taxation, while opponents claimed that the rules should be restricted to physical books only.

The tax breaks on books stems from legislation in Brazil which protects books from taxation as a matter of freedom of speech.

The Supreme Court has now ruled that the digital versions of books are practically indistinguishable from their physical versions, ...

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Belarus Drops Social Parasite Tax

March 10, 2017 Taxation in Belarus

Social Parasite tax in BelarusMINSK – The Belarus tax for unemployed individuals will not be collected this year, although the tax has not actually been dropped or suspended.

On March 9th the President of Belarus Alexander Lukashenko announced that in 2017 the government would freeze collection of the “social parasite” tax.

The tax, which was adopted in 2015, is required to be paid by any individual taxpayer in Belarus who works less than 183 days in any given year.

The rate of the tax is set at a rate equivalent to approximately USD 250 per year.

Originally the tax was set up in order to compensate the government for the tax revenue losses suffered due to taxpayers’ unemployment.

Any individuals who have already paid their taxes for the 2016 year will be refunded their payment, if they work more than the requ...

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UK To Charge VAT on Roaming Charges

March 9, 2017 Taxation in UK

Taxes on Roaming ChargesLONDON – Travelling is set to become more expensive for UK tourists, as new rules will see the cost of roaming data, calls and texts hiked by 20 percent.

On March 8th, the chancellor of the exchequer of the UK Philip Hammond announced that VAT will soon be applied to the roaming charges incurred by UK tourists.

The VAT will be levied on the roaming charges incurred by individuals using the services of a UK-based mobile-provider, when they are travelling outside of the EU-bloc.

The VAT will be levied at a rate of 20 percent, meaning that the cost of using roaming services while travelling will rise by 20 percent for all UK SIM card holders.

The Chancellor claimed that the new tax measure was introduced to combat tax evasion, and also to bring the tax treatment of roaming charges in line ...

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ECJ Rejects Tax Breaks on E-Books

March 8, 2017 Taxation in EU

E-book taxLUXEMBOURG – E-books cannot be sold with a discounted rate of VAT, according to the top court in Europe.

On March 7th, the European Court of Justice ruled that no member-states of the EU may apply a reduced rate of VAT on the sale of digital books, newspapers, or other publications.

According to current EU regulations, EU-member countries are allowed to apply a reduced rate of VAT on the sale of books, a tax measure which is aimed at increasing the instances of reading throughout member countries.

The reduced rates would also apply to newspapers, and other printed materials.

The Court was brought forward to interpret the rules regarding the application of VAT on books and newspapers, following a legal challenge where some EU-member states claimed that the reduction of VAT on e-books and ...

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