25 April 2014
Americas Tax Center Weekly Roundup
Latest news — Americas
Numerous countries endorse new OECD guidelines for application of VAT to international trade
At the OECD Global Forum in Tokyo, representatives of 86 countries endorsed new OECD guidelines for applying value-added tax (VAT) and goods and services tax (GST) rules to cross-border transactions. The new guidelines aim to remedy problems resulting from national VAT systems being applied in an uncoordinated way in the context of international trade. They set standards to help ensure neutrality in cross-border trade and more coherent taxation of business-to-business trade in services. Access the guidelines and endorsement news here.
Costa Rican taxpayers must correctly register their tax domicile by 5 May 2014
On 2 April 2014, Costa Rica approved the Regulations of Tax Procedures, Executive Decree No. 38277-H, through a publication in the Official Gazette. The Decree affects all taxpayers whose tax domicile registered with the Tax Authorities differs from the one required by the Tax Code of Standards and Procedures, and it establishes that such taxpayers have 15 business days, as of 3 April 2014, to register their correct tax domicile, i.e., before 5 May 2014. A Tax Alert has details.
EY 2014 Worldwide Corporate Tax Guide available
EY's 2014 Worldwide Corporate Tax Guide, now available, summarizes the corporate tax regimes in more than 150 countries. The chapters in the guide provide at-a-glance information, as well as details on the taxes on corporate income and gains, determination of trading income, other significant taxes, miscellaneous matters (including foreign-exchange controls, debt-to-equity rules, transfer pricing, controlled foreign companies and anti-avoidance legislation) and treaty withholding tax rates.
EY Global Capital Confidence Barometer – April 2014 report available
Our 10th Global Capital Confidence Barometer clearly illustrates the many complex challenges on today’s boardroom agenda. For leading global corporations, striking a balance between risk and reward has rarely been so difficult. Companies are grappling with geopolitical instability, a fragile global economic recovery and seismic shifts in "megatrends" such as structural changes in the workforce and digital transformation – all at a time of unprecedented shareholder activism.
This week's tax treaty news in the Americas
- Argentina and Mexico: tax treaty negotiations to take place
- Colombia and Panama: Colombia may include Panama in list of tax havens
- Cuba and Kuwait: investment protection agreement signed
This week's EY Global Tax Alerts
- Poland and Belgium sign tax treaty protocol (23 April 2014)
- Canada releases draft legislation for sales tax technical amendments (21 April 2014)
- Australia issues draft tax guidelines regarding transfer pricing documentation, penalties and reconstruction (17 April 2014)
- Canada's proposed treaty shopping framework could affect private equity investments (17 April 2014)
- US persons holding PFIC stock through tax-exempt organizations or accounts will be exempt from Form 8621 filing requirements (17 April 2014)
- Saudi Arabia issues new Ministerial Resolution amending tax by-laws (17 April 2014)
- Austrian Administrative High Court on interest and goodwill amortization (17 April 2014)
- BorderCrossings: A Conversation with the Director of the US IRS Office of Transfer Pricing Operations (30 April)
In the next EY BorderCrossings webcast, US Internal Revenue Service (IRS) Office of Transfer Pricing Operations Director Sam Maruca will share the latest on IRS transfer pricing operations, including IRS goals, strategies and tactics in improving taxpayer upfront compliance and making IRS transfer pricing enforcement more effective. Register here.
EY industry, service and issue publications
Mining and Metals