Category Taxation In Europe

Czech Republic Delays e-Book Tax Break for EU

June 20, 2017 Taxation in EU

tax breaks on e-booksBRUSSELS – Taxpayers in the EU will not be able to enjoy a tax-break on e-books until the Czech Republic lets go of a bill it is holding hostage for its own political benefit.

Late last week tensions arose among members of the EU, as the Czech Republic blocked a bill relating the taxation of e-books, as a means of lending more weight to their demands on a separate bill on a proposed VAT pilot program.

The blocked bill is intended to allow EU member countries to introduce VAT breaks for the sale of e-books.

Currently, under EU law it is possible to reduce the rate of VAT on physical books, but the breaks are not extended to their digital counterparts, creating a divide between the taxation of physical and digital books.

The Czech Republic has blocked the bill at its last stage before imp...

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Cutting Air Departure Tax Would Only Help the Rich

June 19, 2017 Taxation in UK

air departure taxEDINBURGH – Scotland’s new air departure tax is not yet, but the government already has plans to abolish it, although the change will only help corporations and the wealthy.

New research recently released by the campaign group Fellow Traveller has shown that the plans to scrap the air departure tax in Scotland will likely provide a disproportionate benefit to the country’s richest taxpayers.

The air departure tax in Scotland is expected to be implemented in April 2018, as one of the first devolved taxes in the country.

However, the leading SNP administration already plans to slash the tax rate in half by the end of its current parliamentary term, with a further long-term plan of removing the tax entirely as soon as practical.

The party claims that removing the tax would improve Scotla...

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Germany Forced to Drop Nuclear Tax

June 8, 2017 Taxation in Germany

Nuclear Power Plant, GermanyBERLIN – Nuclear power generators in Germany are set to see a windfall of billions of euros, after a court ruled that a six year old tax on nuclear power was unconstitutional.

The Constitutional Court of Germany has ruled that the government’s tax on the use of nuclear fuel rods by energy producers is unconstitutional and void.

The ruling means that the billions of euros paid by the energy producers since 2010 will be refunded.

It has been estimated that the payout by the government could reach EUR 6 billion, even before interest is taken into account.

The German government has been taking repeated actions to diminish the use of nuclear power in the country, after vowing in 2011 that by 2022 Germany would no longer rely on nuclear-power generation.

The plan to close down the plants is ...

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60% Marginal Rate Still Plaguing British Workers

June 2, 2017 Taxation in UK

marginal tax rates in the UKLONDON – Hundreds of thousands of Uk taxpayers will see a tax rate of 60 percent this year, unless the government does somethign to close up an unplanned loophole.

As many as 800 000 individual taxpayers in the UK will face a marginal tax rate of 60 percent, according to the conclusion of new research conducted by the UK think tank the Institute of Fiscal Studies.

Under the current tax regulations in the UK, individuals who earn between GBP 100 000 and GBP 123 000 will face a marginal tax rate of 60 percent, due to a loss of their tax-free personal tax allowance.

The high marginal tax rate is an anomaly, and was not initially intended to be part of the tax system, however, the government has consistently failed to fix the situation.

If the government does not remedy the oversight in th...

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Wealthy Danes Dodge a Third of Their Taxes

June 2, 2017 Taxation in DenmarkTaxation in Norway

Tax Evasion in ScandanaviaCOPENHAGEN – Wealthy taxpayers are much more likely to avoid significant portions of their tax obligations, with the wealthiest people in Scandanvian countries skipping out on nearly a third of the taxes they owe.

Late last month researches from Norway and Denmark published an academic article showing that the propensity to evade personal tax obligations rises steeply with wealth.

The researchers used data made available in the Panama Papers and cross-referenced them with information made publically available by local tax authorities about individual taxpayers, in order to estimate how much tax was evaded by wealthy individuals.

It was found that in Norway, Sweden, and Denmark the richest 0...

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