Ireland’s tax system is frequently in the headlines, with numerous references made to its aggressive tax planning and active role as a tax haven. The UK, on the other hand, is being applauded for its competitive structure. This leads many to question why Ireland’s tax system is viewed as a haven for avoidance rather than simply competitive.
Ian Brimicombe, VP of corporate finance at AstraZeneca, discusses the struggle between regional and global compliance in an interview with TPWeek, and provides his views on topical transfer pricing issues.
The Inspector-General of Taxation (IGT) has announced that his review of the Australian Taxation Office (ATO) uncovered “insufficient transfer pricing capability which was caused by inadequate succession planning and resource management”. The review prompted the IGT to issue 18 recommendations for the ATO, calling for an increase in compliance efforts.
Real Estate Investment Trusts (REITs) in the US face difficulties when it comes to complying with both REIT tax rules and transfer pricing (TP) rules because the guidelines surrounding adjustments are contradictory.
In May, both Switzerland and Singapore, often associated with banking secrecy, signed an OECD declaration agreeing to automatically exchange tax information. The countries’ willingness to sign the document has been seen as a victory for the OECD. However, there is still a strong sense of mistrust among adoptees.
At the OECD Public Consultation on Transfer Pricing and Country-by-Country Reporting (CbCR) in May, taxpayers voiced their growing concerns about commercial sensitivity. Many taxpayers worry that information could be misused and undermine market competition, while non-government organisations, such as Eurodad, feel that sharing such information is in the public interest.
