January2020


France Delays Digital Taxes

Posted on January 30th, by Global Tax Weekly in E-commerce. No Comments

France will suspend digital tax payments for 2020 to prevent the imposition of tariffs on certain French imports into the United States.

The French DST is a three percent tax on the revenue of digital companies providing advertising services, selling user data for advertising purposes, or performing intermediation services. Companies with global revenues of EUR750m (USD838m) or more and French sales of at least EUR25m are required to pay the tax.

The US argues that the tax unfairly discriminates against American companies and is currently considering proposals to impose retaliatory tariffs of up to 100 percent on around USD2.4bn worth of French products.

However, according to various media reports, following discussions between French Finance Minister Bruno Le Maire and US Treasury Secretary Steven Mnuchin against the backdrop of the World Economic Forum in Switzerland, France has agreed not to collect digital tax payments … Read More »


Ireland Election Date Approaches

Posted on January 24th, by Global Tax Weekly in Elections. No Comments

As the UK gears up to begin the process of leaving the European Union at the end of the month (the implications of which are still, to be honest, as clear as mud in terms of trade and tax matters), near neighbor Ireland has been keeping busy with its own affairs ahead of the Republic’s planned election, to be held in February.

The election is set to take place on February 8, with Prime Minister Leo Varadkar explaining that this date provides a window to ensure a new government is in place ahead of the next European Council meeting in March.

In a recent speech, Varadkar revealed that the next step in the Brexit process, which is likely to especially impact the Republic due to its location and close relationship with the UK, will be to negotiate a free trade agreement between … Read More »


France And US Near Digital Tax Compromise

Posted on January 16th, by Global Tax Weekly in E-commerce. No Comments

French Finance Minister Bruno Le Maire has revealed that France and the United States would be attempting this month to reach a compromise over their ongoing dispute regarding France’s new digital services tax (DST).

The French DST is a three percent tax on the revenue of digital companies providing advertising services, selling user data for advertising purposes, or performing intermediation services. Companies with global revenues of EUR750m (USD838m) or more and French sales of at least EUR25m are required to pay the tax.

The US argues that the tax unfairly discriminates against US-based companies and is currently threatening to retaliate against the measure, imposing additional duties of 100 percent on certain French imports with a trade value of USD2.4bn.

Addressing a press conference alongside the European Commissioner for Trade, Phil Hogan, Le Maire said that France and the US have agreed to “redouble … Read More »


OECD Releases New BEPS Tools

Posted on January 9th, by Global Tax Weekly in Base Erosion and Profit Shifting (BEPS), OECD. No Comments

At a multilateral level, the OECD has been busy over the last few weeks on the base erosion and profit shifting front, and on December 23 released new tools for tax administrations to gauge how they are performing in the area of tax debt management and the reduction of compliance burdens.

It announced that it has developed new “maturity models,” featuring performance benchmarks against which tax agencies can better self-assess how their processes are performing against best standards and their peers.

Tom Boelaert, the Administrator General of the Belgian Debt Management Agency, which led the work on this model, explained that: “Tax debt management plays a crucial role in ensuring the effective and fair operation of the tax system. We should therefore always challenge ourselves to do better. Within my own agency, this new maturity model has facilitated frank and in-depth conversations … Read More »





RELATED ARTICLES AND INFORMATION

OECD’s BEPS Meeting To Be Streamed Online

The OECD has revealed that it will be streaming the two-day 11th meeting of the BEPS Inclusive Framework, to be held on January 27-28,...

New French Finance Law Published

On December 30, the French Government published the 2021 Finance Law in the Official Journal.

This included numerous recently announced corporate tax reliefs, including increasing...

OECD Releases COVID-Based BEPS Report

The OECD has released new guidance for multinational groups and tax agencies on the impact of the COVID-19 pandemic on transfer pricing compliance matters.

The...