In a surprise decision, the Federal Court of Australia Credit has ruled that card companies are subject to goods and services tax (GST) on the interest they receive from cardholders on outstanding balances. Sydney partner Amrit MacIntyre explains.
The Netherlands count numerous domestic and foreign closed-end real estate funds that have the legal form of a limited partnership. A pending bill of law in the Netherlands will, once into force, enable Dutch limited partnerships to opt for legal personality. The election for legal personality will not change the current Dutch income tax treatment of the limited partnership and its partners, our Amsterdam lawyers expain.
In a crackdown on tax evasion, France is planning to develop a blacklist of countries that don’t cooperate with its tax enforcement efforts. Companies operating in those countries will be subject to higher withholding and more extensive transfer pricing documentation. Our European Wealth Management lawyers explain.
A German tax court says requiring a taxpayer to undergo an annual “contemporaneous tax audit” is an unreasonable burden. But, as Frankfurt Tax Partner Ulrich Raensch explains, voluntary “fast-track” and “contemporaneous tax audits” sometimes may in fact be very beneficial for the taxpayer.
Mexico is considering changes to its maquiladora tax policies that could cost US companies with consignment manufacturing agreements their tax advantages. Chicago partner John McLees and Mexico tax director Hector Reyes-Freaner explain the implications in this new analysis.
Malaysia has revised its Automotive Policy to attract foreign investments and hasten integration into the global market. Changes include lifting a freeze on manufacturing licenses and expanded tax exemptions. Kuala Lumpur partners Adeline Wong, Brian Chia and Chew Kherk Ying report.
The EU Commission says a tax incentive given to Spanish companies that purchased significant stakes in EU companies outside Spain constituted unfair state aid. Spain was ordered to abolish the tax break and recover aid given under the law, Barcelona partner Pedro Aguarón reports.
Singapore has improved its position as an international financial center by signing more than a dozen protocols permitting Singaporean banks to share financial information with taxing authorities in other countries. Principal Edmund Leow explains the changes as well as the safeguards for taxpayers and financial institutions.
Russia is considering expanding its insider trading and price manipulation laws to cover all organized financial and goods markets, not just the securities market. This follows recent laws establishing maximum prison sentences and new grounds for criminal prosecution in such cases, explains Moscow partner Max Gutbrod.
The US IRS has issued guidance for US citizens relinquising their citizenship and long-term green card holders who surrender their green cards, and who are subject to the "exit tax". The tax due is based on a “mark to market” valuation of unrealized gains on all assets worldwide, Zurich associate Marie-Therese Yates reports.
Broad new Mexican tax reforms raised the corporate income tax and VAT rate, reduced how long income taxes may be deferred in consolidation regimes, and make mandatory electronic filing of business tax documents. Our Mexico tax team provides an overview.
If your company recently sold shares in an EU subsidiary to an EU purchaser, you may be eligible for refunds VAT paid on the transaction under a European Court of Justice ruling. European tax partners Mark Delaney, Folkert Idsinga and Nicole Looks explain.
Spain has introduced a new REITs regime that offers tax breaks on dividends and capital gains to individual shareholders not based in tax havens. Our Spanish lawyers discuss the law’s features, and explain why REIT investments will be an attractive residential investment structure.
Draft legislation in Russia would create a legal framework for the domestic securitization of assets, providing changes to various civil, tax, banking, insolvency and securities laws. Moscow partner Vladimir Dragunov examines the law’s uses as well as its limits.
The International Swaps and Derivatives Association (ISDA) Master Agreement governs thousands of internationally traded derivative products and has been the subject of few disputes. But that may be about to change. London partner Bruce Somer reviews two cases in the US and UK that illustrate the emerging contention.
Only financial institutions and individuals who are legal residents of Vietnam may trade foreign currency-denominated government bonds, under new State Bank of Vietnam guidelines. They are prohibited from using government funds to purchase the bonds, report our Vietnam lawyers in this article.
With its first casinos set to open next year, Singapore has passed a law barring welfare recipients and undischarged bankrupts from visiting them. The Casino Control Act also clarifies how revenues will be computed on various games for tax purposes, our Singapore principals report.
Singapore is bringing its banking laws into line with international standards, establishing processes and procedures to enable foreign tax authorities to obtain information on assets held by bank and trust companies in Singapore. Principals Ai Ai Wong, Kien Keong Wong and Andrew Martin report.
An appellate court ruling has raised significant questions about the legal standard US courts should apply in deciding whether documents prepared for both tax and litigation purposes must be disclosed to the IRS. Palo Alto partner Andrew Crousore and associate Joseph Myszka report.
Under new Hungarian law, pharmaceutical companies will be eligible for tax deductions of up to 20 percent on their R&D expenses. Budapest partner Helga Biro explains the cuts, which get more generous in 2011, are intended to promote investments in R&D.
As financial troubles persist, state legislators and courts are finding more creative ways to deny taxpayers refunds even if they prevail on the legal merits. Palo Alto partner J. Pat Powers and Chicago associate Matthew Mock review recent cases and steps to take to avoid a phyrric tax court victory.
Courts are likely to scrutinize structured transactions closely, even where they involve unrelated third partiers, if the circumstances in which they were implemented suggest tax-driven planning. Palo Alto partner Lance Martin draws lessons from a recent case where a court denied a USD473 million refund claim.
Chinese tax officials have started targeting multinational companies for taxes on expatriates who work in the country under secondment arrangements. If the policy sticks, it could cause a massive shift in how expatriates are assigned to Chinese subsidiaries. China partners Brendan Kelly and Andreas Lauffs report.
French taxpayers with undeclared assets in Switzerland should consider regularizing their tax status now, as a new treaty allows France to obtain information on banking assets to curb tax fraud, report partners from our Paris, Geneva and Zurich offices.
Taiwan’s Ministry of Finance has issued welcome new guidance reversing unpopular tax authority practice that required foreign companies to pay taxes on income realized while performing services for Taiwanese customers outside of the country, explains Taipei partner Dennis Lee in this report.
The Netherlands is considering increasing the penalties for hiding income from its tax authorities. Those who want to “come clean” to avoid criminal charges and higher penalties need to act before they suspect authorities are on to their incomplete or inaccurate filings, Amsterdam partner Peter van den Oord explains.
The US Energy and Treasury departments have outlined application procedures to help sponsors, investors and lenders understand its renewable energy projects cash grant program and the tax treatment of sale-leaseback transactions designed to encourage accelerated development of such projects, report lawyers from our New York office.
Competition issues need to be considered when seeking State stimulus support in the EU. Not all support requires European Commission approval, but some does, explain Brussels lawyers Nina Niejahr and Liesbeth D’Hespeel.
Tax authorities in China reportedly are drafting regulations to clarify the basic principle that intermediary holding companies lacking economic substance may be disregarded for the purpose of levying capital gains tax in China on share transfers. Partners Jon Eichelberger and Brendan Kelly report on two cases that preceded the draft regulations and highlight the need to carefully structure investments in China, amid greater anti-avoidance efforts.
An amended Swiss banking law has strengthened protection for clients, with measures such as guaranteed liquidity and increased coverage for preferential deposits, reports Zurich associate Richard Kuster.
In Netherlands, it has been unclear whether a longer recovery period for unpaid taxes on undisclosed foreign assets is in breach of EU fundamental freedoms. The ECJ rules that the extension constitutes a justifiable limitation — but not in all cases, explains Amsterdam associate Marnix Veldhuijzen.
France has removed VAT charges from carbon credit trades amid suspicions they could be used in broader VAT fraud activities. Paris senior counsel Thierry Vialaneix explains this fraud risk makes Know Your Client checks prudent.