Category International Tax Cooperation

EU Countries May Enact Their Own Digital Tax

September 21, 2018 International Tax Cooperation

internet taxBRUSSELS – The EU’s proposed tax on global digital companies has seen continued delays, so some member states may soon take matters into their own hands.

The Director if the Centre for Tax Policy and Administration at the OECD, Pascal Saint-Amans, has suggested that the EU may see the implementation of a temporary digital tax on the revenues of global internet giants.

The EU is currently investigating the possibility of levying a new tax on the earnings of digital behemoths such as Facebook and Google, in an effort to prevent the companies from avoiding taxation by shifting their profits away from the countries where sales are made and towards low-tax jurisdictions.

However, finding consensus on the exact details and functionality of such a tax is proving to be difficult.

Pascal Saint-Am...

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New Group Formed to Fight Modern Tax Dodging

July 5, 2018 International Tax Cooperation

J5 tax evasionWASHINGTON D.C. – The IRS, along with 6 other tax agencies, are forming a new multinational investigative group aimed at fighting modern international tax evasion.

Earlier this week the US Internal Revenue Service announced the formation of a new collaborative international team aimed at stamping out tax evasion, money laundering and tax crime.

The new group, called the J5, will be made up of the Australian Criminal Intelligence Commission (ACIC) and Australian Taxation Office (ATO), the Canada Revenue Agency (CRA), the Fiscale Inlichtingen- en Opsporingsdienst (FIOD), HM Revenue & Customs (HMRC), and Internal Revenue Service Criminal Investigation (IRS-CI).

The J5 will aim to conduct investigations on the methodologies and perpetrators of on transnational tax offenses around the world.

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UN Launches Own Digital Tax Research

May 22, 2018 International Tax Cooperation

Digital taxNEW YORK – The UN will is starting its research on the taxation of large multinational enterprises, with a focus on their impact on developing countries, despite similar work already being conducted by the EU and OECD.

Last week the UN decided that it will begin work on new rules and guides for the taxation of the worldwide digital economy and multinational enterprises, and it will not await the completion of investigations on the same subject from the Organization for Economic Cooperation and Development.

Many international organizations and national governments are currently scrambling to find an appropriate method of taxing large multinational enterprises operating in several countries.

The multinational enterprises are accused of operating internationally and deriving income around t...

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Start Taxing Inheritances, Says OECD

April 13, 2018 International Tax Cooperation

inheritance taxesPARIS – Inheritance taxes are the key to reducing the developed world’s growing problem of wealth inequality.

The Organization for Economic Cooperation and Development has issued a new report stating that governments need to use taxes to combat wealth inequality, and has suggested that inheritance taxes are an ideal way of achieving this goal.

The OECD noted that the levels of wealth inequality in the developed world have risen in recent decades, and the extent of wealth inequality is greater than income inequality.

It was explained that “A key aspect of wealth accumulation is that it operates in a self-reinforcing way; wealth begets wealth,” the report said. “It may be argued that wealth begets more power, which may ultimately beget more wealth...

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EU Eyes Taxes on Harleys and Bourbon

March 7, 2018 International Tax Cooperation

taxes on harleyWASHINGTON D.C. – A tax war is brewing between the USA and the EU, as a threat to tax EU steel leads to a threat to tax bourbon and Harley Davidson imports.

Earlier this week the EU Commissioner for Trade, Cecilia Malmström, indicated that the EU may retaliate against the US’s threat of import taxes on metal.

The retaliatory taxes will come in the form of targeted levies in the import of items manufactured in the USA.

The items in questions are specifically chosen to cause political pressure against the Trump administration.

Among the items to be taxed are bourbon, orange juice, jeans, t-shirts. Cosmetics, motorbikes, pleasure boats, steel, industrial products, and corn.

The goods chosen are produced in key political states or swing states or are associated with manufacturers which h...

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