CRA Prescribed Rate Remains at 1% for Q3 2016
The CRA's prescribed income tax interest rates for taxable benefits, overpaid taxes, and underpaid taxes for the third quarter of 2016 (July 1, 2016 - September 30, 2016) will remain unchanged.
China Releases VAT Rules
China has released new rates and rules that expand its VAT to key sectors such as real estate and construction, financial services, insurance and lifestyle services (e.g., hospitality and food and beverage).
Resource Industry Tax Reporting — Ready, Set, Go
Oil and gas and mining companies operating in Canada now have the final version of guidance, technical specifications and forms they need to start reporting tax and other payments they make to Canadian and foreign governments.
China Expands VAT Regime on May 1, 2016
China will expand the scope of its value added tax (VAT) regime to key sectors such as real estate and construction, financial services, insurance and lifestyle services (e.g., hospitality and food and beverage).
U.S. Revises Model Tax Treaty
The U.S. Treasury Department has issued a revised model U.S. tax treaty that, among other changes, addresses "special tax regimes" and situations where a treaty partner imposes a significantly reduced level of tax after the treaty's original negotiation.
Ontario Budget Bill #2 Receives Royal Assent
Ontario Bill 144, which enacts certain tax changes from the province's 2015 budget, received Royal Assent on December 10, 2015, and is therefore enacted for U.S. GAAP purposes on this date.
Quebec Budget Bill 69 Receives Royal Assent
Quebec Bill 69, which enacts certain tax changes announced in Quebec's 2015 budget, received Royal Assent on December 4, 2015 and is therefore enacted for U.S. GAAP purposes as of this date.
UK Announces New GAAR Penalty in 2015 Autumn Statement
The United Kingdom's announcement that it is proposing a 60% penalty on arrangements that are successfully challenged under the GAAR was one of the highlights of the annual Autumn Statement and 2015 Spending Review that was released November 25, 2015.
Personal Tax Rate Changes Confirmed for 2016
The new federal government announced two tax rate changes for individuals: a reduction in the federal tax rate for income between $45,283 and $90,563 to 20.5% and an increase of 4% in the tax rate for income over $200,000 to 33%.
Global Tax Rate Survey
Using our tax experience to provide a comprehensive picture of strategies being used by governments to raise revenue from businesses and individuals.
2016 EI Premium Rates Remain Steady
The CRA recently published the 2016 Employment Insurance (EI) premium rates for employees and confirmed that the federal rates will remain stable at $1.88 per $100 of insurable earnings for 2016.
CRA Prescribed Rate Stays at 1% for Q1 2016
The CRA prescribed income tax interest rates for taxable benefits, overpaid taxes and underpaid taxes for the first quarter of 2016 (January 1, 2016 - March 31, 2016) will remain unchanged.
Quebec Catch-Up Bills Receive Royal Assent
Several Quebec bills have recently received Royal Assent, giving effect to measures on Scientific Research and Experimental Development (SR&ED) and mining, among others.
India Tax Return Mandatory — Even if WHT Paid
A reminder that foreign companies earning income from India which is subject to withholding tax may need to file an Indian income tax return for the Financial Year 2014-15 even if they have discharged their tax liability by paying Indian withholding tax.
China Developing New Transfer Pricing Guidance
China released a discussion draft of proposed guidance intended to clarify China's approach to transfer pricing investigations and analysis for public consultation on September 17, 2015.
CRA 2015 Prescribed Rate Stays at 1% for Q4
The CRA prescribed income tax interest rates for taxable benefits, overpaid taxes and underpaid taxes for the fourth quarter of 2015 (October 1, 2015 - December 31, 2015) will remain unchanged.
U.K. 2015 Budget Drops Corporate Rate
In its 2015 budget, the United Kingdom announced further corporate tax rate reductions to 18% in 2020 and said that it would abolish corporate tax relief for acquired goodwill and other customer-related intangible assets.
Going Public? - KPMG Can Help
KPMG Canada recently released, "A Guide to Going Public", which outlines the challenges a company may face when going public.
Alberta Hikes 2015 Personal and Corporate Taxes
Alberta has introduced new tax brackets including a personal top marginal bracket of 15% that will be phased in for the 2015 tax year, and increased the corporate income tax rate to 12% (from 10%) effective July 1, 2015, among other changes.
B.C. Contractors' PST Exemption - Are You Exposed?
Some contractors may be erroneously claiming British Columbia PST exemptions on the goods they use to fulfill a supply and install contract while charging PST to their customers on the material components of those contracts.
Are Your Tax-Free Inter-Corporate Dividends in Jeopardy?
Canadian corporations that receive dividends from other Canadian corporations may be adversely affected by the recently expanded anti-avoidance rule that recharacterizes certain tax-free inter-corporate dividends as capital gains subject to tax.
Frontiers in Tax – April 2015
Our latest edition of frontiers in tax examines the new trends and developments that are transforming the financial services sector.
Are you ready for FATCA?
KPMG’s Tax and Advisory professionals are experienced in helping local and multinational Financial Institutions meet FATCA compliance requirements.
Duty Refunds for Importers — CBSA Changes Gears
If you import goods into Canada and the price of those goods is adjusted downwards after importation, you may be eligible for a refund of customs duty due to a change in Canada Border Services Agency (CBSA) policy.
Highlights include an examination of both the external and internal factors affecting the current audit committee risk mandate.
Tax Accounting — Snapshot of Rates for 2014
If you are involved in preparing financial reports for corporations or other organizations, certain 2014 income tax changes may need to be reflected in your year-end financial statements under IFRS, ASPE or U.S. GAAP.
Tax Highlights of Quebec’s Economic Update
Quebec's Minister of Finance and the Economy, Carlos Leitão, delivered the update on the province’s economic and financial situation on December 2, 2014, approximately six months after the Quebec’s 2014-2015 budget.
Tax Accounting — Snapshot of Rates on June 30, 2014
If you are involved in preparing financial reports for corporations or other organizations, certain 2014 Canadian income tax changes may need to be reflected in your interim-period financial statements under IFRS, ASPE or U.S. GAAP.
India Court Rules Create a PE
India recently held that the employees of a multinational corporation seconded to an Indian affiliate created a Service PE in India.
Bahrain TIEA Now in Force
Finance has announced that its Tax Information Exchange Agreement (TIEA) with Bahrain came into force on April 3, 2014.
OECD’s New Approach to Combat Treaty Abuse
Canadian multinationals and foreign corporations investing in or through Canada will be most interested in the Organisation for Economic Co-operation and Development’s (OECD) new discussion draft on "Prevent treaty abuse" (the paper).
Competitive Alternatives 2014
Competitive Alternatives 2014 compares business costs and other non-cost factors in more than 100 cities, in 10 countries.
Liechtenstein TIEA Now in Force
Finance has announced that its Tax Information Exchange Agreement (TIEA) with Liechtenstein came into force on January 26, 2014.
Many Employers Must Remit Deemed GST/HST by January 31
Many employers that offer registered pension plans to their employees must calculate an amount of deemed GST/HST and QST, if applicable, and remit these amounts, in their monthly December 2013 GST/HST and QST returns.
Gifting Tax Shelters - CRA Still Not Assessing T1 Returns
The CRA recently announced that it would continue its policy of putting on hold the assessments and refunds of returns filed by taxpayers participating in gifting tax shelters until the audit of the gifting tax shelter is complete.
Finance Eases Phase-Out of Labour Tax Credit
Finance released draft legislation to provide transitional relief for taxpayers affected by the phase-out of the federal Labour-Sponsored Venture Capital Corporations (LSVCC) tax credit by 2017.
India Enacts New GAAR Rules
India has introduced general anti-avoidance rules (GAAR) that may affect investments by Canadians and other foreign entities.
P.E.I. Decreases 2014 Non-Eligible Dividend Tax Rate
P.E.I's Bill 7, which will decrease the tax rate on non-eligible dividends by increasing the province's dividend tax credit applicable to non-eligible dividends effective January 1, 2014, received first reading on November 13, 2013.
New SR&ED Form T661 Released
The CRA released a revised version of Form T661, "Scientific Research and Experimental Development (SR&ED) Expenditures Claim", on October 31 2013.
Federal Budget Bill #2 Receives First Reading
Bill C-4 to enact remaining tax measures from the 2013 federal budget, as well as "certain previously announced tax measures", received first reading in the House of Commons on October 22, 2013.
EU Countries Proposing Rules to Comply with BEPS Action Plan
Both Ireland and Norway seem to be proposing legislation to comply with the OECD's intention to limit base erosion via interest deductions as detailed in Action Four of its Action Plan for dealing with Base Erosion and Profit Shifting (BEPS).
Mexico Eyes Tax Reform in Recent Proposals
On September 8, 2013, Mexico's Congress was presented with an economic package for 2014 that includes proposals to repeal the single rate business tax and the tax on cash deposits, and eliminate certain special tax regimes and deductions.
OECD Reports 2012 MAP Caseloads on the Rise
The total number of open Mutual Agreement Procedure (MAP) cases in OECD member countries for resolving cross-border tax disputes has increased to 4,061, a 6% increase from 2011, according to the OECD's latest annual report on MAP statistics for 2012.
Welcome Changes to FA Dumping Rules
The Department of Finance released a 26-page package of amendments to the foreign affiliate (FA) dumping rules in section 212.3 on August 16, 2013.
2013 B.C. Budget Bill Receives Royal Assent
Bill 2, which implements certain measures in British Columbia's 2013 budget including the increase in both personal and corporate tax rates, received Royal Assent on July 25, 2013.
IRS Extends FATCA Timelines for Withholding Agents and FFIs
The IRS has announced that it will extend the timeline for withholding agents and foreign financial institutions (FFI) to begin their due diligence and withholding and reporting requirements to payments made after June 30, 2014, a six-month extension.
Finance Releases Foreign Affiliate Draft Legislation
The Department of Finance released draft legislation on July 12, 2013 relating to among other things, the taxation of foreign affiliates, non-resident corporations without share capital, and the foreign currency election.
Quebec Enhances E-Business Tax Credit
Quebec's Minister of Finance and Economy, Nicolas Marceau, announced on July 11, 2013 that the refundable tax credit for the development of e-business (TCEB) would be extended and indexed.
G8 Leaders Pledge Action Plan for Tax Transparency
The G8 leaders have committed to establish the automatic exchange of information between tax authorities as the new global standard, according to a release issued at the conclusion of the G8 summit in Northern Ireland held on June 17-18, 2013.
Quebec Enacts "Old 2012 Budget"
Quebec has enacted Bill 18, which includes various items mentioned in the former Liberal government's March 2012 Quebec budget.
Canada Signs TIEA with Bahrain
Finance has announced that Canada recently signed a new Tax Information Exchange Agreement (TIEA) with Bahrain on June 4, 2013.
Finance Launches LSVCC Tax Credit Consultations
Finance has launched public consultations on the tax rules governing Labour-Sponsored Venture Capital Corporations (LSVCC) as part of the upcoming phase-out of the federal LSVCC tax credit, as announced in the 2013 federal budget.
Highlights of the 2013 Ontario Budget
Today Ontario Finance Minister Charles Sousa delivered the province’s 2013 budget. The budget anticipates a deficit of $9.8 billion in 2013 and $11.7 billion in 2014.
EU Financial Institutions Face New Reporting Rules
Financial institutions in the European Union will soon have to begin country-by-country reporting of tax payments made to governments, and will also have to comply with stronger bank solvency and liquidity requirements and a cap on bankers' bonuses.
FIs — Preview FATCA Registration Form
Financial institutions have an opportunity to review and provide comments on a draft registration-process form for the U.S. Foreign Account Tax Compliance Act (FATCA).
OECD Comments on After-Tax Hedging Aggressive Tax Planning
The OECD's recently released report "Aggressive Tax Planning based on After-Tax Hedging" describes the features of aggressive tax planning schemes based on after-tax hedging as well as strategies used by countries to detect and respond to those schemes.
CRA Launches Folio Views — Comments Welcome
The CRA recently launched its Income Tax Folios publications. This new technical publication product updates information currently found in income tax interpretation bulletins and includes improved web functionality.
CRA Issues Guidance on PRPP Options for Small Business
The CRA has released guidance on its new Pooled Registered Pension Plans (PRPP), a new option for tax-effective retirement savings for employees of small businesses and self-employed individuals who don't already have a company pension plan.
New REIT Rules — Welcome Improvements
Certain trusts may benefit from recent legislative changes to ease the requirements to qualify as a real estate investment trust (REIT) for income tax purposes.
Are All Your Systems Go for New B.C. PST?
If your company sells taxable goods and services in British Columbia, you should be ready for the new B.C. PST that takes effect in just six weeks on April 1, 2013.
KPMG's Tax professionals are regularly published at seminars and conferences, industry association meetings, and in trade magazines. Below is a selection of these articles, reproduced with permission.
Thinking Beyond Borders 2012
This publication identifies compliance matters for business travelers doing business in any of the 90 countries in study.
Frontiers in Tax – July 2012
This edition discusses how legislators are struggling to translate policymakers' broad prescriptions into detailed rules for a new FS environment.
Global Transfer Pricing Review
KPMG's 2012 Global Transfer Pricing Review is designed to help multinational companies stay current with transfer pricing rules worldwide.
Hedge Funds 2010
KPMG International’s Hedge Funds 2010 indicates new and extensive regulation that will pose questions as to what the future might hold.
Trade Matters is our quarterly newsletter that discusses recent developments in trade and customs.
Global Indirect Tax Brief
This publication series aims to look at a selection of local country VAT issues and topics on a pan-global basis.