Category Taxation in Australia

Australia Updates Offshore Voluntary Disclosure Initiative

December 3, 2009 Offshore BankingOffshore TaxationTax HavensTaxation in Australia

Getting FleecedThe Australian Taxation Office (ATO) has announced an update to their Offshore Voluntary Disclosure Initiative (OVDI) for nationals with unreported income from offshore activities.

Amid a worldwide escalation of Government tax amnesties, Australia has joined the fray and offered its citizens an opportunity to volunteer up information regarding any unpaid tax obligations in relation to their offshore bank accounts.

In the OVDI program, only taxpayers with additional previously undeclared taxable incomes of greater than AUD20,000 will be forced to pay a penalty of 10% on the surplus income for that year. Additionally, information volunteers are also offered general interest concessions through the OVDI program...

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Tax Burden Dropped in OECD

November 25, 2009 Taxation in AustraliaTaxation in EUTaxation in IcelandTaxation in NetherlandsTaxation in SweedenTaxation in UKTaxation in USA  No comments

The tax burden, calculated as a ratio of tax receipts to Gross Domestic Product (GDP), faced by member countries of the Organization for Economic Cooperation and Development (OECD) fell by 0.5% in 2008.

According to the OECD’s “Revenue Statistics: 2009 Edition” report, published November 24th, the tax burden by its members has fallen as the worldwide financial crisis tolls global economies. The aggregate tax receipt-to-GDP ratio across the surveyed OECD nations in both 2007 and 2006 was 35.8%. Based on current provisional figures, this ratio has now fallen to an approximate 35.2% or 35.3%.

Mexico displayed the lowest tax burden with 21.1%, followed by Turkey and Korea at 23.5% and 26.6%, respectively. Denmark was ranked as the highest tax receipt to GDP ratio nation at 48...

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UK and Australia Seeking UBS Data

November 10, 2009 International Tax CooperationOffshore BankingTaxation in AustraliaTaxation in SwitzerlandTaxation in UK  No comments

Swiss bank UBS has confirmed that the governments of the UK and Australia, amongst others, are seeking information about possible tax evasion from their own nationals.

According to the notes within the UBS third quarter report, following the settlement of its case with the US Department of Justice and Internal Revenue Services, UBS began to receive request from other jurisdictions for similar information. The UBS report said that “In particular, the revenue services of the UK and Australia have served upon UBS and other Swiss and non-Swiss financial institutions providing cross-border wealth management services requests for information relating to such services that is located in the respective jurisdictions”...

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Tax Information Exchange Agreement Update

September 10, 2009 International Tax CooperationOffshore BankingTax HavensTaxation in AustraliaTaxation in British Virgin IslandsTaxation in CanadaTaxation in Cayman IslandsTaxation in EUTaxation in FranceTaxation in GermanyTaxation in IrelandTaxation in LiechtensteinTaxation in MonacoTaxation in New ZealandTaxation in Turks & Caicos IslandsTaxation in UKTaxation in USA  No comments

Since the April G20 summit, over 50 new TIEA agreements have been signed across the globe.

The London G20 Summit, held on the 2nd of April this year, heralded an unprecedented wave of Tax Information Exchange Agreement (TIEA). In what was described as “revolutionary” by Angel Gurría, OECD Secretary-General, the number of completed TIEAs has almost doubled since their inception in late 2000.
Since the G20 summit, and subsequent global push for greater tax transparency and compliance, the following 53 agreements have been signed.

United States – Monaco (8 September 2009)
Denmark – Turks & Caicos Islands (7 September 2009)
Netherlands – Antigua & Barbuda (2 September 2009)
Denmark – Gibraltar (2 September 2009)
Denmark – Anguilla (2 September 2009)
Germany – Liechtenstein (2 September ...

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Speech Gives Australian Tax Hints

August 21, 2009 Taxation in Australia  No comments

Indications to possible outcomes of the current Australian tax review were given on the 20th of August by Ken Henry, Australian Treasury Secretary.

In his speech to the Australian Industry Group, Ken Henry gave indications as to the direction of some changes to the Australian taxation system that will take as a result of its current review procedure.

Significant attention was given to the concept of changing Australia’s future taxation system to maximize its efficiency and improve incentives for investment. The key point indicated by Ken Henry was the possibility of shifting taxation arrangements to increase the competitiveness of equity investments over debt investments, both from local and international business...

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