There is a New Year tradition in Scotland known as “first footing.” First footers (being the first to visit after the midnight bells have rung) bring gifts, one perhaps being a lump of coal to signify keeping the house warm. Nowadays, that lump of coal will much less likely come from a British mine.
On December 18, the United Kingdom’s last deep seam coal mine closed. Is this closure due to a reduction in UK coal power stations to support Government greener fuel policies? The short answer: No. According to the mine manager, it cost GBP43 to dig out a tonne of coal at the mine, as compared with around GBP30 a tonne in Russia and Colombia. Consequently, it is more economical to import coal from across thousands of miles to fuel the coal power station just seven miles … Read More »
When it’s in Australia, of course! Appropriately, given the time of year, it sounds like the sort of weak Christmas cracker joke that needs the post-lunch Rémy Martin to kick in before it becomes vaguely amusing. However, it is kind of true, isn’t it? Certainly, many a government is fond of a tax reform committee or two, especially right after they’ve been elected. And rarely do so-called “root and branch” tax reviews result in change anywhere near that level of ambition. However, if failing to follow through on independent tax reform reports was a crime, they’d be shoving Australia into the international penitentiary and throwing away the key…
For more information on this, and other topical international tax matters, please visit: https://www.cchgroup.com/roles/corporations/international-solutions/research/global-tax-weekly-a-closer-look
Newly elected Canadian Prime Minister, Justin Trudeau has been bedazzling world leaders recently with his good looks and youthful bonhomie. But will the Liberals work similar magic on the Canadian economy with their fiscal plans? I fear not. To its credit, the new Government is delivering on its central tax pledge, to cut income tax for those in the middle and hike tax for those at the top. But one recent study suggests that far from raising extra revenue — money intended to subsidize the middle class tax cut — the plan to shift the tax burden to top earners could actually cost federal and provincial governments. The C D Howe Institute’s Alexandre Laurin, the author of the report, said: “The Liberal election platform said that these changes would be more or less revenue neutral, however we estimate the federal … Read More »
I have a question. How come corporate tax receipts in Ireland account for roughly the same percentage of overall revenue – about 8 percent in 2014 – as they do in the United Kingdom (just under 10 percent in 2012) and the United States (also just under 10 percent in 2010) when corporate tax in Ireland was half the UK rate in 2012, and about a third of the US’s? I could direct that question to the Chancellor of the Exchequer in London, and the Treasury Secretary or any number of senior Congressmen in Washington, but I think they get it already. High corporate tax rates don’t necessarily produce high levels of revenue, because they encourage avoidance and discourage investment. Which is why corporate tax rates have been steadily falling all over the world in the last 10 years or … Read More »