Search results for

Read this month's special features for Intangibles and Norway

Some of Denmark’s biggest companies had their names used in the fraud Some of Denmark's biggest companies including Danske Bank, healthcare company Novo Nordisk and Vestas, the world's largest wind energy company, have had their identities stolen and used in a multi-billion kroner tax fraud.

Pierre Moscovici, European Commissioner for Economic and Financial Affairs, Taxation and Customs, has urged EU member states to tighten up VAT collection after new figures showed €168 billion was lost in 2013. Joe Stanley-Smith reports.

Jock McCormack In the context of the imminent release of the OECD report to G20 finance ministers dealing with its final recommendations on the Base Erosion and Profit Shifting (BEPS) Action Plan, Australia has introduced legislation dealing with several initiatives to combat multinational tax avoidance. The principal initiative will target 'significant global entities' (those with annual global income of A$1 billion ($700 million) or more, or as determined by the Commission of Taxation) which artificially avoid a taxable presence in Australia, essentially under a scheme that was carried out for the principal purpose or a principal purpose of obtaining a tax benefit relating to the non-attribution of income to an Australian permanent establishment (PE) of the foreign entity – section 177DA. Secondly, and most importantly, the penalties applicable to significant global entities that enter into tax avoidance or profit shifting schemes have been significantly increased to potentially 120% of the relevant scheme shortfall amount (the amount of tax in dispute).

Igor Vujasinovic In accordance with the conclusions made by the House of Peoples of the Federation of B&H arising from the session held on July 15 2015, the Federal Ministry of Finance has opened a public debate on the draft of the Law on Corporate Income Tax (CIT Law). Public consultations on the law will remain open until October 31 2015. All interested parties have been invited to submit their comments and proposals on the draft of the CIT Law to the Federal Ministry of Finance.

Julio Oliveira On July 21 2015, the Brazilian Government issued the controversial Provisional Measure (PM) 685/2015 which, among other provisions, provides for new rules concerning the disclosure of certain transactions to the Brazilian Internal Federal Revenue Service (RFB). Broadly, PM 685/2015 provides that the following types of transactions occurring in the previous year should be disclosed to the RFB by September 30:

Francisco Selamé Marchant

Drilona Likaj The Government of Albania has approved some amendments to the Law on the Establishment and Functioning of Economic Zones. The amendments introduce new regulations and new tax incentives for companies operating in the free zones. According to the approved amendments, corporate income tax (CIT) will be reduced by 50% for the entities that operate in free zones for the first five years of their activity. Entities operating in free zones can calculate 20% of capital expenses incurred during the fiscal year as deductible expenses for CIT purposes within the same period, regardless of the depreciation rates approved as per the income tax law. The entities have the right to benefit from this incentive only during the first three years from the beginning of the activity and for a total of two years.

Espen Qvist and Trond Ingebrigtsen of PwC Norway provide an overview of issues being tackled as part of the OECD’s base erosion and profit shifting (BEPS) project which are having an impact on Norwegian indirect tax policy.

Bryan Bailey