President Obama unveiled his FY 2016 Budget plan at the start of February, seeking to replace the existing deferral system for US multinational companies and impose a minimum 19% tax on their foreign earnings, as well as charging a 14% tax on previously untaxed foreign income.
Two forthcoming issues of International Tax Review will include surveys of the leading tax transactional (March) and tax planning firms (May) around the world. The firms will be ranked after polls of corporate taxpayers. This is your opportunity to vote.
The US Senate voted this week to approve a one-year retroactive extension of certain temporary tax provisions that expired at the end of last year, including the research and experimentation credit.
The UK government has published draft legislation for the diverted profits tax (DPT) – dubbed the ‘Google tax’ – announced by George Osborne, Chancellor of the Exchequer, in last week’s Autumn Statement. The consensus is that the UK would be better served waiting for the delivery of international initiatives on tackling aggressive tax avoidance.
Delivering his Autumn Statement today, George Osborne announced new anti-avoidance measures for international businesses – including a 25% diverted profits tax – and repeated his statement that the UK is host to an environment of “low taxes, but taxes that will be paid”.
Scotland is to gain greater tax-raising powers after the release of the Smith Commission report. But the benefits for the country will see are not as clear-cut as some may have originally thought.
