International Tax News Blog
  • Sweden Plans New Tax Liability for Foreign Companies

    Bloomberg By: Marcus Hoy (Bloomberg BNA)

    Foreign employees of non-resident companies will be tax-liable regardless of the length of time they stay in the country, according to a draft proposal detailed by Sweden's Finance Ministry May 17. If, as expected, the proposal become law, foreign companies employing workers in Sweden will be required to deduct tax from salaries even if the company doesn't have a permanent establishment in the country.

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    By Hoy, Marcus, posted on Thursday May 24, 2018
  • Tax Cuts Chaos, Part III: Can Treasury Fix It?

    Tax Analysts By: Mindy Herzfeld

    The code changes made by the Tax Cuts and Jobs Act (P.L. 115-97) have wreaked havoc on international rules, creating taxpayer uncertainty in how to apply the law and headaches for the government in how to write interpretive rules. Much of the complexity comes from a single source: the delineation of global intangible low-taxed income as a separate basket under section 904(d). That construct brings expense allocation rules into play, potentially restricting U.S. multinationals’ ability to claim foreign tax credits on GILTI in unexpected ways.

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    By Herzfeld, Mindy, posted on Friday May 18, 2018
  • U.N. Releases Updated Model Tax Convention

    Tax Analysts By: Alexander Lewis

    The U.N. published on May 18 its updated model tax treaty, which features new provisions covering fees for technical services and entitlement to treaty benefits.

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    By Lewis, Alexander, posted on Monday May 21, 2018
  • The Stages of International Tax Reform

    By: Diane Ring

    Since December 2017, tax conferences in the United States have focused substantially on the H.R. 1 tax reform legislation. No surprise there — the 2017 changes are among the most significant in the past thirty years. But over the past five months, through attending numerous tax conferences featuring international tax practitioners, I’ve observed some interesting developments in the nature of the discussions and debates at these conferences. These changes are pretty revealing about the process of absorbing the true impact of the new tax law, particularly in international tax. This weekend’s ABA May Tax Section Meeting in Washington, D.C. highlighted some of these trends.

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    By Ring, Diane, posted on Sunday May 13, 2018
  • S. 2826 Would Establish Tax on Income From China

    Tax Analysts By: Tax Analysts

    Excerpts are available of S. 2826, the Fair Trade with China Enforcement Act, introduced by Sen. Marco Rubio, R-Fla., which would eliminate the reduced withholding rates for Chinese residents and impose a surtax on specific income from China, among other things.

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    By Tax Analysts, posted on Monday May 21, 2018
  • Setback on Google Ads May Cost Israel Millions in VAT Refunds

    Bloomberg By: Matthew Kalman (Bloomberg BNA)

    The Israel Tax Authority stands to refund millions of shekels in VAT after two Israeli publishers successfully appealed the authority's decision to apply VAT to online advertising space used by Google.

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    By Kalman, Matthew, posted on Wednesday May 23, 2018
  • EU's U.K. Tax Probe May Hit Unprecedented Number of Companies

    Bloomberg By: Ben Stupples (Bloomberg BNA)

    The European Commission's probe into a U.K. tax scheme may hit an unprecedented number of companies for its investigations on governments’ specialized treatment of global businesses.

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    By Stupples, Ben, posted on Wednesday May 23, 2018
  • Brazil's Congress Approves Tax Incentives for Technology Sector

    Bloomberg By: Ed Taylor (Bloomberg BNA)

    Brazil's Senate has completed congressional approval of key legislation that expands the window period—to 48 months from three months—during which information technology and communications companies can receive tax incentives.

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    By Taylor, Ed, posted on Tuesday May 22, 2018
  • Why Rush of Overseas Dealmaking Is Risky for U.S. Companies

    WSJ logo By: Paul J. Davies (The Wall Street Journal)

    Global corporate deal making is on fire. The danger is that a lot of value ends up getting burned. This year so far has seen an explosion of bidding activity and U.S. companies pursuing record volumes of deals at home and even more so overseas.

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    By Davies, Paul J., posted on Tuesday May 22, 2018
  • EU to Cut Two Countries From Tax Haven Blacklist

    Bloomberg By: Joe Kirwin (Bloomberg BNA)

    European Union finance ministers will shrink the bloc's tax haven blacklist to seven countries from nine on May 25 by removing the Bahamas and Saint Kitts and Nevis. The change comes after both Caribbean island countries made commitments to conform with EU transparency and fair corporate taxation criteria.

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    By Kirwin, Joe, posted on Monday May 21, 2018