Category Taxation In Asia

Japan Approves “Sayonara Tax”

April 17, 2018 Taxation in Japan

Departure tax JapanTOKYO – Japan’s will soon charge you to leave the country, and will then use the money to get tourists into the countryside.

Last week the government of Japan approved a new departure tax, which has already come to be called the “sayonara tax”.

From January 7th, 2019, anybody departing the country by aeroplane or ship will be required to pay a tax of JPY 1 000.

The only notable exceptions to the tax will be children under the age of 2, and travellers who are leaving the country within 24 hours of their initial arrival.

The tax is expected to raise a total of JPY 6 billion, in the first 3 months of next year alone, with the total rising to as much as JPY 43 billion per year by 2020.

The government has already set forward rules which stipulate that any revenues gathered from the tax wi...

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Hike Cigarette Taxes, Says Pakistan Health Ministry

April 11, 2018 Taxation in Pakistan

cigarette taxesISLAMABAD – Cigarette taxes in Pakistan need to be raised, not lowered, says the national Ministry of Health Services.

The Ministry of National Health Services, Regulations and Coordination of Pakistan has called on the government to raise taxes on cigarettes sold in the country, as the move could boost tax revenues and have positive health effects for taxpayers.

The Ministry is calling for their previously proposed plan to be enacted, with a PKR 44 tax on each 20 pack of cigarettes sold.

The tax is forecast to result in a 13.2 percent drop in smoking rates in the country, a PKR 39.5 billion rise in tax revenues, and a 0.65 million drop in premature deaths in the country.

However, despite the Ministry’s recommendations, the government has implemented a PKR 16 per pack tax, which it claim...

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Remittance Tax in Kuwait, A First in the GCC

April 10, 2018 Taxation in Kuwait

remittance tax in kuwaitDOHA – Foreigners working in Kuwait will have a harder time if they plan on sending money home.

Earlier this month the Parliamentary Financial and Economic Affairs Committee of Kuwait announced that it has approved a bill which would impose a tax on overseas remittance sent by expats in the country.

The new tax is intended to be tiered, in order to lessen the impact on low-income earners.

The rate of tax applied to remittance of between KWD 1 and KWD 99 is only 1 percent, while the rate of transfers of between KWD 100 and KWD 200 are set at 2 percent, 3 percent for transfers of up to KWD 499, and 5 percent on all further transfers.

The government expects that if the tax is enacted, it could lead to tax revenues f as much as KWD 70 million.

The current level of remittance in Kuwait is esti...

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Pakistan Reduces Tax and Offers Amensty

April 6, 2018 Taxation in Pakistan

pakistan tax amnestyISLAMABAD – Pakistan is trying to bring people into the tax net, however, it is simultaneously reducing tax rates, boosting tax-free thresholds, and offering a tax amnesty.

On April 5th the government of Pakistan announced a series of sweeping changes aimed at cutting down on tax evasion and boosting tax revenues in the country.

The three most popular points of the plan are the launch of an amnesty program, the overhaul of tax rates for individuals, and the announcement that individuals’ Computerized National Identity Card will now act as their National Tax Number.

The use of national IDs as the National Tax Number is expected to help bring more people into the tax net and ensure a wider range of compliance with filing and payment requirements.

The new amnesty will allow taxpayers wh...

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S.Korea To Issue Crypto Guidelines

April 3, 2018 Taxation in South Korea

cryptocurrency in South KoreaSEOUL – South Korea is aiming to enstate some control and taxation over the cryptocurrency market by mid-2018.

Over the weekend the government of South Korea announced that it will soon enact new rules regarding the taxation of virtual currencies.

Virtual currencies such as Bitcoin have enjoyed immense popularity in South Korea in 2018 and 2017, with astronomical demand and surge pricing for purchases in the country.

The government has tried to reign in the popularity and uncontrolled growth for the cryptocurrencies over the last 12 months.

By the end of June 2018, the government hopes to issue a guideline on the taxation of profits made from cryptocurrencies, whether it be from issuance, mining, capital gains, or from transactions.

No indication yet has been given on what the guideline...

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