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The corporate tax rate is 20%. Generally, two types of taxes are payable by corporate entities. The corporate income tax rate is 20% and is applied to the taxable income. Whereas the business receipt tax (ranging from 2% to 10%) is applied to the gross revenue. Qualifying extractive industries (mines and hydrocarbons) are exempt from the business receipt tax. Taxable income is determined by deducting all business-related tax deductible expenses from gross revenue. The tax deductible expenses also include dividends paid by the corporation and business receipt tax. Expenses which are subject to withholding tax are not tax deductible if the taxpayer fails to withhold withholding tax and to pay it to the tax authorities. Under a tax incentive scheme, so-called approved enterprises (that is, enterprises registered with the Afghanistan Investment Support Agency according to the Investment Law) are eligible for accelerated depreciation (four years for buildings and two years for other assets) and full carry forward losses.
The corporate tax rate is 10%. The corporate income tax rate is applied to the taxable profit of the fiscal year (1 January to 31 December). Taxable profit is defined as gross income generated minus related tax deductible expenses. There are certain expenses that are not deductible for tax purposes, such as business expenses unsupported by a regular invoice, interest accrued up to a certain limit, interest paid on loans and pre-payments which exceed four times the amount of net equity during the period, representation expenses over a certain limit and cost of fringe benefits. Setting up reserves does not lead to tax deductible expenses, except for banks and insurance companies. Dividends derived by qualifying companies are tax exempt.
The corporate tax rate is 35 percent. According to the draft law of the Corporate Income Tax Code, the corporate tax should decrease to 30% from 2014 onwards. This change has already been approved, but not yet published in the National Gazette.
The corporate tax rate is 35 percent. A minimum income tax at a rate of 1 percent is applied to the tax value of the company's assets (liabilities cannot be deducted). Some assets, such as stocks, shares in other entities that are subject to taxation, and assets of mining companies are exempt from minimum income tax. The acquisition of new goods, except for automobiles, as well as the investment in newly constructed or refurbished buildings (for the first two years) is also excluded from minimum income tax. The minimum income tax only applies to the extent it exceeds the (regular) income tax calculated as a percent of the taxable income. The minimum income tax paid in any given year reduces the (regular) income tax of subsequent years (maximum carry forward of 10 years).
The corporate tax rate is 20 percent.
The corporate tax rate is 28 percent.
The corporate tax rate is 30%. The corporate income tax rate applies to both resident and non-resident companies. A resident company is liable to corporate income tax on its worldwide income and capital gains. A non-resident company is liable to corporate income tax on its Australian-source income only, and on capital gains from the disposal of an asset that is taxable Australian real property (TARP). Broadly, TARP will include Australian real property and certain indirect interests in Australian real property. The Australian tax system provides taxation relief against international double taxation by granting foreign tax offsets in some circumstances and in others, by exempting the foreign income from Australian tax. The corporate income tax rate applies to income earned during the period from 1 July to 30 June of the following year. If a company has approval to use a different year-end for tax purposes, the approved period must still relate to a 30 June year-end (that is, the year ended 31 December 2012 in lieu of 30 June 2013).
The corporate tax rate is 25%. There are no trade income or net worth taxes. Austrian corporations may benefit from the participation exemption and the group taxation (including cross-border loss utilization and goodwill depreciation for the acquisition of qualifying Austrian subsidiaries).
The corporate tax rate is 0%. No taxes based on corporate earnings are assessed in The Bahamas. Effective 1 July 2013 the general rate of the Business License tax is 0.75% of turnover exceeding $500,000 and up to 1.75% of turnover exceeding $100 million.
The corporate tax rate is 0%. Bahrain is an income tax-free country; there is no corporate or personal income tax in Bahrain (except for certain oil related activities). Accordingly, all profits, dividends, or any other income is tax free. Bahrain taxes oil and gas companies in the drilling and exploration sector at a rate of 46%. There are no exchange control regulations and accordingly there is no restriction on repatriation of capital, profits, royalties, or wages.
The corporate tax rate is 27.5 percent. The corporate income tax rate is 27.5 percent for corporations (except banks and other financial institutions) listed at a stock exchange. If such listed corporation pays a dividend that exceeds 20 percent of the paid-up capital for a taxable year, it receives a 10 percent rebate on the tax payable. In cases where the dividend is lower than 10 percent of the paid-up capital, the corporate income tax rate is increased to 37.5 percent. Should the dividend amount be less than 15 percent in spite of having sufficient distributable profits, the company is subject to an additional 5 percent tax on the undistributed profits. Banks, insurance companies and other financial institutions are taxed at 42.5 percent, and mobile phone operators are taxed at 45 percent. All other companies including branches of foreign companies are taxed at 37.5 percent. However if a mobile phone operator company converts itself into a publicly traded company by offering a minimum of 10 percent of its shares on the stock exchange through initial public offer, then applicable tax rate for such organization will be 35 percent. A rebate in the amount of 50 percent of the income derived from export business will be granted to companies registered in Bangladesh. Textile/jute industries are subject to 15 percent but these industries will not qualify for an export rebate. Tax at 0.4 percent deducted by a bank from export proceeds received by export-oriented knitwear and woven garment industries is treated as final tax. If the profit earned by a bank exceeds 50 percent of its capital and reserves, the bank is subject to a 15 percent excess profits tax on the additional profit. The aforesaid rates will remain valid for companies whose accounting year ends on any date up to 30 June 2010.
The corporate tax rate is 25%. The corporate income tax rate may be reduced, on a sliding scale to 1.75%, by a foreign currency tax credit granted for qualifying foreign currency generating activities. Special rates apply for small business, manufacturing, or certain insurance concessions. An international financial service center tax regime provides for exemption from tax for certain insurance companies, a 1.75% rate for qualifying insurance companies and a variable rate of 0.25% to 2.5% for other qualifying international business activities.
The corporate tax rate is 18% (effective 1 Jan 2012).Reduced rates are 12% (for dividends); 10% (for residents of science and technology parks; for producers of laser and optical equipment; for the sales of self- produced high-tech goods); 50% of the standard rate (for the disposal of shares); and 5% (for members of Science and Technology Association established by the State University). For special economical zones the CPT rate is 50% of the standard rate (but not more than 12%) if certain specific requirements are met.
The corporate tax rate in Belgium: 33.99%. A lower (progressive) tax rate may apply to companies that are more than 50% owned by individuals. All companies subject to resident or non-resident corporate tax benefit from the risk capital or 'notional interest' deduction that is computed on the companies 'adjusted' equity capital (including retained earnings). The deduction equals 2,63 % (3,13 % for small companies) for fiscal year 2015 (taxable years starting 1 January 2014 or later). The notional interest deduction reduces the effective tax rate to an average range from 24% to 27% (or lower depending on the equity capital).
The corporate tax rate is 0%. There are no notes for 2014.
The corporate tax rate is 25 percent. The Bolivian corporate income tax is based on the territoriality principle, whereby tax is due only on business income derived from activities performed, property situated, or economic rights used in Bolivia, regardless of the nationality, domicile or residence of those who take part in the operations. Accordingly, business income realized through operating companies outside Bolivia is not taken into account for Bolivian tax purposes nor are losses pertaining to such companies.
The profit tax regime in the BES islands (Bonaire, St Eustatius and Saba) has been abolished as per 2011. According to the Tax Act BES the basic rule is that all companies established in the BES Islands are deemed to be established in the Netherlands and therefore subject to Dutch corporate income tax and dividend withholding tax. Consequently, such companies will be subject to Dutch corporate income tax levied at a rate of 20% on profits up to EUR 200,000 and a rate of 25% for profits exceeding that amount. The dividend withholding tax rate is 15%.
However, certain qualifying companies can elect to be subject to the BES islands’ property tax and distribution tax instead of being subject to the Dutch corporate income tax and Dutch dividend withholding tax. Instead, a property tax rate of 15% (tax rate for hotels: 5%) levied on 4% of the value of a company's real estate located in the BES islands and a distribution tax rate of 5% (levied on proceeds derived from shares in companies established in the BES islands) apply.
The corporate tax rate is 10%.
Bosnia and Herzegovina consists of two separately administered territorial entities: the Federation of Bosnia and Herzegovina (FBiH) and the Republic of Srpska (RS) with different corporate profit tax laws and regulations. In case of RS, effective date is 01/01/2002.
In both entities, dividends received are generally not subject to corporate profit tax.
Tax incentives envisaged in the FBiH include allowing a tax holiday for a year in which more than 30% of a taxpayer's total income is realized through export as well as tax incentives related to investment as per the FBiH corporate profit tax legislation.
The corporate tax rate for resident companies is 22%. Dividends are subject to a general rate of 7.5% unless varied under a Double Tax Agreement. Non-resident companies rate is 30% with no additional taxes on remittance of profits.
The corporate income tax (IRPJ) rate is 25%. The rate is a combination of a 15% basic rate and a 10% surtax on income that exceeds BRL 240,000 per year. In addition, Brazilian tax legislation imposes a social contribution on net profits (CSLL) at a rate of 9%. Thus, corporate income taxation should be charged at a combined rate of 34% (IRPJ and CSLL). Note that as of 1 May 2008, the tax rate of the mentioned social contribution (CSLL) has been increased from 9% to 15% in case the taxpayer is a financial institution, a private insurance company, or a capitalization company. There are two main methods to calculate corporate income tax: (i) actual profit, where the taxable basis for both taxes should correspond to the company's net book profit, which is determined by applying Brazilian GAAP (adjusted by certain inclusions and deductions allowed under the Brazilian legislation); and (ii) presumed profit, wherein taxpayers shall calculate their corporate income taxes (at the same rate applied to the actual profit system) based on the application of a deemed profit margin. Brazilian entities may elect to compute corporate taxes based on this presumed profit mechanism; provided they (a) do not have total gross revenues in the preceding year higher than R$48 million; (b) are not financial institutions, similar entities or factoring companies; (c) do not earn foreign profits, income or gains (i.e. directly or through foreign subsidiaries) and (d) do not qualify for an exemption or reduction of the corporate income tax.
Please, it is worth mentioning that, effective as of January, 2014, Federal Law 12,814/13 increased the gross revenue limit to apply for the presumed profit system R$ 78 million opposed to currently R$ 48 million.
The corporate income tax rate is 10 percent.
Corporate tax rate:
(i) 0% for Qualified Investment Project under tax exemption period
(ii) 5% on gross premiums for Insurance business
(iii) 30% for oil & gas production, exploration and exploitaion of natural resources
(iv) Others than above are subject to a standard rate of 20%
The corporate income tax rate is 26.5%. It comprises a 15.0% federal tax component and an 11.5% provincial tax component. Depending on the province, the combined general corporate income tax rate ranges from 25% to 31%. Lower corporate income tax rates are available to Canadian-controlled private corporations (CCPCs) on their first CAD$500,000 (CAN$350,000 to CAD$425,000 for certain provinces) of taxable active business income. A 2014 representative tax rate for a CCPC on its first CAD$500,000 of active business income is 15.5% (an 11% federal tax component and a 4.5% provincial tax component). Depending on the province, the 2014 combined active business income tax rate ranges from 11% to 19%.
There is no corporate tax.
The corporate tax rate is 20% (Introduced by Law 20.630, published in the official gazette of September 27, 2012). Dividend tax rates on non-residents have remained unchanged, and dividends paid out of 2013 earnings will carry a 20% imputation credit respectively. Chilean corporate income tax (named first category tax) applies to all types of taxable income realized by a taxpayer, individual, or legal entity, regardless of its nationality, residence, or domicile, with the exception of income from dependent employee's and independent personal services. The tax base is the accrued net taxable income after allowable deductions and expenses. First category tax paid can be credited against final taxes, which are a personal income tax with a progressive rate schedule (with some changes from 2013) in case of Chilean resident individuals and withholding tax with a 35% flat rate in case of non-residents. The 20% rate must be applicable not only from 2013 but also for income accrued during calendar year 2012.
The corporate tax rate is 25%. Certain industries and qualified businesses may be entitled to lower corporate income tax rates such as 15%. Some tax holidays are also available to qualified taxpayers.
The general income tax rate is 25%, plus the fairness tax (CREE as its name in Spanish) at the rate of the 9%.
For Industrial Users of goods and services located in a Free Trade Zone, the income tax rate is 15% and they would not be subjected to pay the CREE.
In addition to the corporate income tax and the CREE, there is a municipal industry and commerce tax levied on industrial, commercial and services activities carried out within a municipality. The rates are set by each municipality but cannot exceed 1.4%, taking into account that the taxable base is the gross income of the activity.
For income tax and CREE purposes deductible expenses include industry and commerce tax.
Finally, please note that for foreign entities without a PE or a branch in Colombia the tax rate is 33% and the CREE does not apply. Furthermore, portfolio investors may apply to a reduced rate of 14% (no in the case of dividends and tax havens which rate is 25%).
The corporate tax rate is 30%. This income tax rate is applicable to entities whose gross income exceeds CRC 100,513.000. Entities with gross income up to CRC 49,969,000 are subject to a 10% corporate income tax rate, entities with income exceeding CRC 49,969,000, and up to CRC 100,513.000 are subject to a corporate income tax rate of 20%.
The corporate tax rate is 20%. Taxable income is determined by adjusting accounting profit in accordance with the provisions of the Corporate Income Tax Law. Dividends received are not subject to corporate income tax. A company can reduce its tax base by the amount of declared after tax profit used to increase the company's share capital. Additionally, companies registered in Special State Care Areas or in the City of Vukovar employing a certain number of people residing in Special State Care Areas or in the City of Vukovar can apply for a 50% corporate tax rate reduction or for a corporate tax exemption provided certain conditions are met. Tourist tax, forestry tax, monumental protection fees, and Croatian Chamber of Commerce fees are taxes based on turnover.
The corporate tax rate in 27.5 percent.
The corporate tax rate for tax year 2013 onwards is 12,5%. The rate is applicable on business income derived by a company (defined as "any body with or without legal personality, or public corporate body, as well as every company", but it does not include a partnership). Dividends received are tax exempt. Income deriving from the sale of securities is also tax exempt. Only expenses wholly and exclusively related to the business activity are deductible.
The corporate tax rate is 19%. A special rate of 5% applies to profits of qualifying investment, mutual and pension funds.
Dividends received are, in principle, taxed at 15%. However, dividend received from a subsidiary in which the parent has held at least 10% for at least 12 months and which is resident in the EU is exempt. A dividend received from a subsidiary resident in a country with which the Czech Republic has signed a double tax treaty is also exempt upon following conditions: (i) the legal form of the subsidiary is similar to a limited liability company, joint stock company or a cooperative, (ii) parent has held at least 10% for at least 12 months, (ii) the corporate tax rate of the subsidiary is at least 12%.
Dividends paid are taxed at 35% or 15%, unless a double tax treaty provides for more favorable rates. However, dividends paid to a parent resident in the EU, Norway, Iceland or Switzerland which has held at least 10% for at least 12 months is exempt.
The 35% rate only applies to shareholders from jurisdictions with which the Czech Republic has not concluded an international agreement on the exchange of information on taxes or a Double Tax Treaty. The 35% will also not apply to signatories of the Council of Europe’s Convention on Mutual Administrative Assistance in Tax Matters (“Convention”). As the Czech Republic has only just joined the Convention (signing it on 26 October 2012), the new regulation will apply once in force which will be on 1 February 2014.
Income tax relief for a period up to 10 years is available under special investment incentive schemes. However, it is currently being discussed that the investment incentive schemes might be greatly limited from mid 2014.
The corporate tax rate is 24,5%. Two prepayments of corporate income tax during the taxable year are mandatory. If the final tax liability exceeds the prepayments a surcharge of 6% (2014) of the outstanding tax liability is payable. There are no local taxes on corporate income.The corporate tax rate is reduced to 23.5% in 2015 and 22% in 2016 (25 % to apply for oil and gas companies).
The corporate tax rate for 2012 and 2013 was of 29%. For the year 2014, such rate changes to 28%. In 2015, it will be reduced to 27%.
From 2013 onwards the corporate tax rate will be 22%. The rate is reduced to 12% when the taxpayer decides to reinvest its profits. This reinvestment needs to used for i) the acquisition of new machinery or equipment or assets related to research and technology to improve productivity; ii) the acquisition of fixed assets and all goods used for agricultural production, forestry, livestock and flower-growing. The reduced rate only applies to the amount of profit reinvested and the company's capital must be increased by the reinvested amount. This benefit is not applicable for private financial institutions.
Exemptions from income tax for five years from the first year may apply in cases where income attributed directly to new and productive investments.
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The corporate income tax rate is 30% (this increased from 25% on 1 Jan 2012). A 25% corporate income tax rate applies to taxpayers with less than US$ 150,000 gross taxable income. Distributions of profits (e.g. dividends) to individuals or legal entities derived from domiciled corporations are subject to an additional 5% tax. If the shareholder is a non-domiciled individual or entity, the 5% tax will be withheld at the time the dividend is paid. Distribution of profits arising in tax years prior to 2011 are exempt from the dividend tax. Distribution of profits to low tax jurisdictions (tax havens) are subject to a 25% withholding tax. The 5% withholding tax is also applicable in the case of loans granted to non-domiciled shareholders, parent companies, branches or agencies, etc. However this withholding tax will not be applicable provided that certain requirements are met (i.e. interest rate agreed is at a fair market value or loan agreements executed between financial institutions regulated by the Superintendent of Financial Services etc). A minimum income tax is payable of 1% of the taxpayer's gross income (tax payable is the greater of 1% of gross income or 30% of taxable income). Certain exemptions exist for low margin operations e.g. gas stations. Certain limited exemptions to the minimum tax apply in the case of tax losses. Monthly advance (estimated) payments are made throughout the tax year based on 1.75% of gross monthly income. Payment of royalties, services, head office charges, etc. to non-domiciled corporations are subject to a withholding tax of generally 20%.
According to the corporate income tax system applied in Estonia, undistributed profits are not subject to tax. Instead, income tax at the rate of 21% is charged on gross dividends. However, tax is calculated as 21/79 of the net dividend. Thus a company not distributing profit is not obliged to pay income tax.
Taxable expenses are subject to 21/79 corporate income tax as well.
The corporate tax rate is reduced to 20% in 2015.
The corporate tax rate is 20%. The corporate income tax rate applies to companies incorporated in Fiji and branches of non-resident companies.Reduced corporate tax rates for foreign companies that establish/relocate its headquarters to Fiji (17 percent) and companies newly listed under the South Pacific Stock Exchange, provided the company has 40% local shareholding (18.5 percent) Dividend distribution from profits which have been fully subjected to income tax shall not be further subject to tax. The repatriation of after-tax branch profits (if earned in 2010 and subsequent years) shall not be subject to further tax.
The corporate tax rate is 24.5%.
A 3.3 percent social contribution is levied on the part of the corporate income tax that exceeds EUR 763,000, resulting in an overall maximum tax rate of 34.43 percent. In addition, a temporary 10.7 percent surtax is levied on the (full) corporate income tax for entities with a sales turnover over EUR 250 million. This temporary surtax, which brings the overall maximum tax rate to 38 percent, applies to financial years (closed) from 31 December 2011 until financial years (closed) on 30 December 2015. Specific categories of income can benefit from a reduced corporate tax rate under conditions. In particular, licensing fees relating to certain IP rights can benefit from a 15 percent corporate tax rate (respectively 15.5 percent or 17.1 percent taking into account the above two surtaxes). Small and medium size companies with a turnover of EUR 7.63 million or less owned at least 75 percent by individuals (or owned by companies meeting the same conditions) are subject to a corporate income tax rate of 15 percent. This reduced rate applies to taxable profits up to EUR 38,120. These small and medium size companies are not subject to the above-mentioned social contribution and temporary surtax. Fidal is an independent legal entity that is separate from KPMG International and KPMG member firms.
The Corporate Income Tax is calculated on an annual basis; the rate of 15% is applied to the taxable profit. The taxable profit is defined as the difference between the gross income and the relevant deductions stipulated by the Tax Code of Georgia
The corporate tax rate is 29.58%. The overall income tax rate for corporations includes corporate income tax at a rate of 15%, solidarity surcharge at a rate of 0.825% (5.5% of the corporate income tax), and local trade tax. The local trade tax generally varies between 7% and 17.15%, assuming a municipality multiplier (Hebesatz) ranging normally from 200% to 490% (the average multiplier for 2012 was 393%). The local trade tax is not deductible as a business expense.
The above rate is the general corporate tax rate. However, there are specific rates applicable to certain sectors as follows:
Mining - 35% since 9 March 2012
Hotel - 20%
Free Zone Entities
- Income from Sales Outside the Domestic Market - maximum
of 8% after their ten-year tax holiday
- Income from Sales to the Domestic Market - maximum of
25% after their ten-year tax holiday
Petroleum Operations - Not more than 50%; but currently the rate applicable to all the operators is 35%
Export of non-traditional goods - 8%
There are also specific rates for certain areas in the agriculture sector
The corporate tax rate is 10%. Companies pay tax on income that is accrued and derived in Gibraltar. If it can be shown that income is not accrued and derived in Gibraltar, the income is not taxable in Gibraltar. The company can apply to the Commissioner of Income Tax to have this confirmed in an advance tax ruling (subject to certain conditions and restrictions).
A higher rate of 20% applies to utility companies e.g. electricity, fuel, telephone service and water providers and companies abusing a dominant market position.
The corporate tax rate for FY 2013 onwards is 26%. The withholding rate on dividends/profits which are paid within 2013 for distribution is 25%. However, the withholding rate on dividends/profits paid after 1 January 2014 is 10%. General partnerships (OE) and limited partnerships (EE) are taxed as separate legal entities and for fiscal year 2013 are taxed as follows: in case they do not maintain double-entry accounting books, they are subject to corporate tax at a rate of 26% for income up to EUR 50 000 and the excess is taxed at a tax rate of 33% while in case they do maintain double-entry accounting books, their total net income is subject to tax at a rate of 26% (and an additional tax of 10% applies on profit distributions).
The corporate tax rate for the 2014 is 28% or 7%. The Guatemalan corporate income tax system is based on the territoriality principle; all Guatemalan-source income is taxed. The taxpayer's choice to be under the tax system at a rate of 28% on taxable income (the general system) or at a rate of 7% on gross income (the optional system). Under the general system, corporate income tax is paid annually but quarterly advance payments are required. Under the optional system, corporate income tax is paid on a monthly basis.
The standard corporate tax rate is 0%, unless the 10% or 20% tax rates apply based on the circumstances set out below.
Income derived from certain regulated banking and money lending activities is taxable at 10%.
The 10% tax band was extended effective 1 January 2013 to include income from licensed fiduciaries (in respect of regulated activities), licensed insurers (in respect of domestic business), licensed insurance intermediaries and licensed insurance managers.
Furthermore, income derived from regulated utility activities and Guernsey real estate is taxable at 20%.
The corporate tax rate is 30%. The overall income tax rate for corporations comprises of a 25% corporate income tax rate and a temporary solidarity surcharge of 5% for 2014 that applies if the taxable income exceeds HNL1 million. In addition, there is a net assets tax of 1% of the value of the assets of the company (less allowances for certain accounts and accumulated tax depreciation). Net assets tax is payable only to the extent it exceeds the corporate income tax.
The corporate tax rate is 16.5%. Hong Kong SAR is a special administrative region of the People's Republic of China. The 16.5% rate applies to Hong Kong-sourced profits that are derived from a business carried on in Hong Kong. Offshore profits, capital gains, dividends, and most Hong Kong bank deposit interest income are exempt from tax. Profits derived from certain securities or types of business (such as qualifying debt instruments or profits derived from the business of reinsurance of offshore risks by a professional re-insurer) are either exempt from tax or subject to a concessional rate of 8.25% (50% of the 16.5% standard rate).
The corporate tax rate is 19%. A 10% corporate income tax rate applies for taxable income up to HUF 500 million (approximately USD 2,500,000). The excess is taxed at 19%. These rates are expected to be applicable also in 2014.
From 1 July 2007, a minimum tax (AMT) applies. The AMT base amounts to 2% of total income, as decreased by the cost of goods sold and the value of intermediated services and some further adjustments. Please note that deduction of cost of goods sold and mediated services is capped as of 1 January 2013.
An additional local business tax (LBT) of up to 2% is applicable based on the adjusted net sales (certain expenses are deductible). This local business tax is deductible for corporate income tax purposes
The corporate tax rate is 20%. The income tax rate for other resident legal entities, such as limited partnerships, associations, private non-profit institutions, trust funds, estates of deceased persons and bankrupt estates is 36%. Tax is imposed on net income after allowable deductions. A non-resident entity permanent establishment tax rate and deduction depends on the type of income and the entity legal form, the tax rate of the permanent establishment tax rate depends on what type of legal entity the head quarters correspond to in Iceland.
The corporate tax rate for domestic companies is 30 percent. Foreign companies are taxable at 40 percent. A minimum alternate tax (MAT) is levied at 18.5 percent of the adjusted profits of companies where the tax payable is less than 18.5 percent of their book profits.
There is a special method for computation of total income of insurance companies. The rate of tax on profits from life insurance business is 12.5 percent.
Surcharge and Education Cess
Surcharge is levied on the basic tax rate based on the level of total income as mentioned below. Further, education cess is applicable at 3 percent on income tax (inclusive of surcharge, if any).
• Where the total income is not more than INR 10 million – Nil
• Where the total income is in excess of INR 10 million but does not exceed INR 100 million – 5 percent
• Where the total income exceeds INR 100 million – 10 percent
Accordingly, the effective tax rate of a domestic company would be 30.9/32.445/33.99 percent respectively.
• Where the total income is not more than INR 10 million – Nil
• Where the total income is in excess of INR 10 million but does not exceed INR 100 million – 2 percent
• Where the total income exceeds INR 100 million – 5 percent
Accordingly, the effective tax rate of a foreign company would be 41.2/42.024/43.26 percent respectively.
Dividend distribution tax is levied at 16.995 percent on dividends distributed by a domestic company.
Securities transaction tax is levied on the value of taxable securities transactions in equity shares and units of equity oriented funds.
With effect from 1 July 2013, Commodities Transaction Tax has been introduced on the sale of commodity derivatives (other than agricultural commodities) traded in recognised associations, at the rate of 0.01 percent on the value of such transaction and such tax shall be payable by the seller.
Wealth tax is imposed at a rate of 1 percent on the value of specified assets held by the taxpayer in excess of the basic exemption of INR 3 million.
A presumptive tax regime is applicable in case of certain specified sectors viz. shipping, exploration of mineral oil, operation of aircrafts and turnkey power projects.
Listed companies which meet certain conditions are eligible for a 5 % reduction in the corporate tax rate.
A company with gross turnover less than IDR50 billion (approximately USD5.5 million) is eligible for a 50 % reduction of the corporate tax rate on the proportion of taxable income which results when IDR4.8 billion is divided by the gross annual turnover. Where gross turnover is below IDR4.8 billion, the reduction applies on all taxable income.
Strating from 2003, Iraq starts applying 15% CIT on all industries. On 2010 the introdiced Oil & Gas law and starts applying 35% CIT in Oil & Gas companies and industries related to Oil & Gas.
The corporate income tax rate is 12.5% for active income of new operations. A corporate income tax rate of 25% applies to passive income and income from certain land dealing activities, mining, and petroleum activities. Capital gains are taxed at 33% with a participation exemption for gains on disposals of certain shareholdings of 5% or more of companies resident in EU or income tax treaty states.
The corporate tax rate is 0%. A rate of 10% applies to certain profits of licensed banks and to profits derived from Isle of Man land or property. Furthermore, with effect from 6 April 2013, retailers with taxable profits in excess of GBP500,000 are taxed at 10%.
Companies with a beneficial or approved or preferred enterprise are taxed at a reduced tax rate that varies depending on the circumstances. Capital gains are subject to the standard corporate tax rate. Dividends from foreign sources are subject to a 25% tax with a credit for foreign withholding tax, and in certain circumstances, at the standard corporate tax rate on the "grossed up dividend" with a credit granted on all foreign taxes paid by the direct and second tier subsidiary on the dividend and the income from which it is distributed.
The corporate tax rate is 31.4 percent. IRES of companies producing and distributing energy, including renewable energy, is increased of additional 6.5 percent (10,5 percent for 2011, 2012 and 2013) if certain threshold are met. An increased rate (38 percent versus the ordinary 27,5 percent) applies also to those entities that either are considered "dormant" or declared tax losses for three consecutive years.
The corporate tax rate is 25% for all companies that are not regulated companies (later defined) including large unregulated companies whose corporate tax rate was reduced from 30% to 25% on January 1, 2014. Large unregulated companies are those with annual revenue of at least J$500,000,000. Regulated companies are those regulated by the Bank of Jamaica, the Financial Services Commission, the Office of Utilities Regulation and the Ministry of Finance and Planning ("regulated companies") and these entities are taxed at 33.33%. These regulated companies generally fall within the categories of financial institutions, securities dealers, insurance companies and utility companies. Large unregulated companies whose accounting year ends are other than December 31 for the year of assessment 2014, may need to calculate their tax liability for 2014 on a time apportioned basis: the 25% rate applying to taxable net profits earned before April 1, 2013, the 30% rate applying to taxable net profits earned as at that date and 25% on taxable net profits earned from January 1, 2014. Companies must declare their income and make prepayments of the corporate tax in four installments (15 March, 15 June, 15 September and 15 December) during the taxable year. If the final tax exceeds the prepayments, the balance is payable by the due date of filing the income tax return (15 March of the year following the year of assessment)
The corporate tax rate is 38.01%. This is an illustrative effective tax rate for a company in Tokyo with paid-in capital of more than JPY100 million for fiscal years beginning between 1 April 2012 and 31 March 2015. Note that it is proposed to reduce the tax rate under the 2014 tax reform proposal. If the bill to amend the current tax law is passed, the illustrative effective tax rate will be 35.64% for fiscal years beginning on or after 1 April 2014. Size-based business tax is also levied on a company with paid-in capital of more than JPY 100 million, in addition to the income-based business tax. The size-based business tax rates in Tokyo are 0.504% on the added-value component tax base (total of labor costs, net interest payments, net rent payments, and income/loss of the current year) and 0.21% on the capital component tax base (total paid-in capital and capital surplus).
The tax rate applicable depends on the activities of the company.
Financial services companies pay tax at 10%.
Utility companies e.g. electricity, water and gas pay tax at 20%.
Companies importing and/or distributing hydrocarbon oils pay tax at 20%.
Companies pay 20% on Jersey source rental income.
All other companies are subject to the general rate of 0%.
The corporate income tax rates are 14%/24%/30%. The corporate income tax rate of 14% applies to all companies except the below: - a 24% rate applies on Main Telecom Companies, insurance companies, financial mediators and financial companies and finance leasing activities companies. - a 30% rate applies to banks. These rates apply pursuant to a temporary law effective from 1 January 2010 onwards.
The corporate tax rate is 20%. Branches of foreign companies operating in Kazakhstan are subject to an additional branch profits tax of 15% of their after-tax income, resulting in an overall tax rate of 32% for branch offices. Income tax treaties may reduce the branch profits tax.
The corporate tax rate is 30%. The corporate tax rate for branches is 37.5%. Profits after tax are subject to 5% or 10% withholding tax, for residents and non-residents respectively, when distributed as dividend.
Export processing zone enterprises are exempt from corporate tax for the first 10 years and subsequently enjoy a reduced tax rate of 25% for the next 10 years.
Newly listed companies, approved under the Capital Markets Authority enjoy reduced corporation tax rates depending on the percentage of shares floated to the public.
Informal businesses with turnover above five hundred thousand Kenya shillings but not exceeding five million Kenya shillings in a year of income pay a turnover tax of 3% which is a final tax.
The corporate tax rate is 15%. A flat rate of 15% has been introduced effective for fiscal periods commencing after 3 February 2008. Prior to this date, the tax rates ranged from 0% to 55% and were based on taxable income.
The corporate tax rate is 15 percent. There are four regions in Latvia called Special Economic Zones (SEZ). Companies operating in these zones are subject to a corporate income tax rate of 25 percent, but are granted an 80 percent corporate income tax relief. Very small companies with an annual turnover less than EUR100,000 may elect to pay tax of 9 percent of turnover.
The corporate tax rate is 20 percent. In addition to the 20 percent tax rate, a Jihad tax is levied (4 percent of profits).
It might get some changes backdated on 1.1.2014.
The general corporate income tax rate is 15%. A reduced rate of 5% applies for agricultural companies, including cooperatives, and for small companies, if, among other conditions, i) their average number of employees does not exceed 10 and ii) the income does not exceed LTL 1,000,000 (EUR289,620). A 0% tax rate may be applied for companies established in free economic zones and for social companies. Currently, corporate income tax incentives are available for manufacturing companies employing people with disabilities, companies implementing investment or scientific research and experimental development projects. All incentives are applied only if certain conditions are satisfied and their impact varies depending on the specific facts and circumstances.
The corporate income tax rate of 22.47% includes a 7% employment fund contribution. Additionally, a municipal business tax is levied. The rate for the city of Luxembourg is 6.75%. The municipal business tax rate varies depending on the location.
Progressive tax rates range from 3% to 12%. The Macau Government announces an exemption on taxable income up to MOP300,000 for the year of assessment 2013 (1 January - 31 December). The excess is taxed at 12%.
The corporate tax rate is 10 percent. A resident company is subject to corporate income tax on its worldwide income. No profit tax is due on undistributed profits, i.e. profit tax becomes due at the moment of payment of dividends or other distributions of profit (except for distribution to resident legal entities). However, at each year end, profit tax is due separately on the base consisting of unrecognized expenses reduced for temporary differences. There are no local taxes on corporate income. Companies investing in technological industrial zones are exempt from corporate income tax for a period of 10 years.
The Corporate Income tax rate is 30% for locally incorporated companies. For foreign and those operating as branches, the rate is 35%. For mobile phone operators the tax rate is 33% with effect from 1 July 2012.
The corporate tax rate is 25%. Resident companies with a paid up capital of MYR 2.5 million and below (as defined) at the beginning of the basis period for a Year of Assessment (YA) are subject to a corporate income tax rate of 20% on the first MYR 500,000 of chargeable income. For chargeable income in excess of MYR 500,000, the corporate income tax rate is 25%. Leasing income (from moveable property) derived by a permanent establishment in Malaysia is taxed against a rate of 25% whereas a non-resident corporation with no Malaysian permanent establishment is taxed against a rate of 10%. A special 5% rate applies to corporations involved in qualified insurance businesses. Income generated by a life fund of an insurance company is taxed against a rate of 8%. A non-resident corporation with shipping or air transport income may also benefit from a special tax regime. 70% of statutory income of resident corporations derived from the transportation of passengers or cargo on Malaysian ships is exempt. Companies engaged in petroleum operations are subject to a rate of 38%.
The corporate tax rate is 35%. Malta operates a full imputation system of taxation for both residents and non-residents, which ensures the full relief of economic double taxation upon the distribution of taxed profits by companies resident in Malta. On the distribution of taxed profits, the shareholders may opt to claim a partial/full refund of the tax paid by the distributing company. As a general rule, the tax refund amounts to six-sevenths of the tax paid. The refund will be reduced to two-thirds if the shareholder claims double-taxation relief and five-sevenths in those cases where the distributed profits are derived from passive interest or royalty income being subject to foreign tax at less than 5%. Dividends and capital gains derived from participation holdings will qualify for a full refund. The Malta tax suffered on distributed profits hence ranges between 0% and 10%. The tax paid on profits derived, directly or indirectly, from immovable property situated in Malta is not available for refund.
The corporate tax rate is 15 percent.
The rate reduction that was foreseen in the previous tax law was amended and the rate will remain at 30%. The Business Flat Tax has been abrogated starting January 2014 with some transitory rules applicable.
The corporate tax rate is 9%. Taxable profit is calculated by adjusting the company's profit or loss declared in the P&L account according to the provisions of the Corporate Income Tax Law. Adjustments include certain disallowed costs, transfer pricing as well as depreciation. Operating losses stated in the tax balance may be carried forward for five years and offset against operating profit declared in the tax balance. Capital losses could be carried forward and offset against capital gains up to five years.
As of 1st January 2008, the corporate tax rate is 30 percent. This corporate tax is 37 percent for banks and insurance companies. Companies with a profit not exceeding 300,000 MAD VAT excluded benefit from a reduced corporate tax rate of 10 percent.
Export enterprises benefit for the part of the taxable income corresponding to the export turnover from a total exemption from corporate tax during the first 5 years and subsequently enjoy a reduced tax rate of 17.5 percent. There are also additional exemptions and reduced rates for some activities.
The amount of tax payable may not be less, for any financial year and regardless of the taxable profit, than the minimum levy of 0.5 percent of turnover, profits of various kinds and subsidies but excluding capital gains (0.25 percent for turnover related to the sale of oil, gas and some other goods). There is an exemption from the minimum levy during the first 36 months following commencement of the operations. If the minimum levy made during a year exceeds the actual corporate tax calculated on the profit, the excess may be credited against actual corporate tax less the minimum levy of the following three years.
A social contribution is levied from 2013 to 2015 on the accounting profit exceeding 15 million MAD. The applicable rate in this regard varies between 0.5 percent and 2 percent.
The withholding tax rate is 15 percent on the distribution of dividends to non-resident shareholders and after tax profits to branch’s head office.
The corporate tax rate is 32 percent. Agricultural companies are taxed at a rate of 10 percent until 31 December 2010. Furthermore, agricultural, cultural, and artisan cooperatives may benefit from a 50 percent reduction in the tax rate.
The tax rate of 33% is applicable to companies other than those carrying on mining or long term insurance operations.
It should be noted that companies that have been awarded manufacturing and export status qualify for special incentives such as reduced corporate tax rates.
The corporate tax rate is 20%/25% - The first EUR 200,000 of taxable profit is taxed at 20%. These rates have been in force since 2011.
The corporate tax rate is 28%. The 28% corporate tax rate applies from the 2012 income tax year. The effective date depends on the taxpayer's book year. For example, a book year-end of 31 December will have the 28% rate effective 1 January 2011, whereas a taxpayer with a standard 31 March year-end will apply the new rate effective from 1 April 2011. 10% of general insurance premiums paid to non-residents are deemed to have a New Zealand source and are therefore taxable at the 28% rate.
The corporate tax rate was changed from 35% to 30% with effect from 1 January 1996. In addition to the corporate tax at 30%, Nigerian companies (i.e., companies incorporated in Nigeria) are liable to tertiary education tax at 2% of their assessable profit.
The corporate tax rate is 27%.
The corporate tax rate is 12%. This rate is based on taxable profits exceeding OMR 30,000 and it applies to all companies irrespective of the form of the company or the nationality.
The 12% tax rate was effective under the old Income tax law however other rates were also applicable up to 30% depending on circumstances. From 1 Jan 2010, only the 12% rate is applicable.
For tax year 2014 tax rate for companies other than banking companies shall be 34% and for banking companies it will be 35%. Previously, from 1 July 2006 to 30 June 2013, the tax rate for all companies including banking companies was 35%. Small companies may be taxed at a rate of 25%, subject to specified conditions.
The corporate tax rate is 25%. For entities in which the State is the owner of more than 40% of the shares the corporate income tax rate will be 30%.
The corporate tax rate is 30%. For mining and gas companies, the corporate income tax rate is 30%. Petroleum projects commenced prior to 1 January 2001 are subject to a 50% tax rate while petroleum projects commenced on or after 1 January 2001 are taxed at either 45% or 30% depending on when the license is issued. Non-resident mining companies pay tax at 40%. In case of other businesses, a branch of a foreign company is taxed at 48%. Certain non-resident companies are taxed on a deemed profit basis (shipping at 5%, that is an effective tax rate of 2.4% of gross income; insurance at 10%, that is an effective tax rate of 4.8% of gross income). Foreign contractors can elect to be taxed on a deemed profit basis of 25% (that is an effective tax rate of 12% of gross income, subject to reduction if a non-discrimination clause in a double tax treaty applies).
The corporate income tax general rate is 10 percent. An additional 5 percent tax is imposed on profits distribution (dividends) to domestic shareholders; Dividends paid to non-resident shareholders are subject to a 15 percent withholding tax. The accrued application of the mentioned tax rates results in an effective rate of 25,46 percent. Different effective tax rates apply to different activities performed by non-resident entities in the following cases: 3 percent for qualified insurance premiums; 3 percent for qualified freight and transport; 3 percent for communications (phone, internet, and similar); 4.5 percent for news agencies; 12 percent for distributors of movies, cinema/television, and similar; and 4.5 percent for transfer of the use of containers. For financings received from external banks, current effective rate is 6 percent. Corporate income earned by individuals/foreign entities for their activities carried out in Paraguay (e.g. through a branch or permanent establishment) is currently taxed at an effective rate of 15 percent.
The corporate tax rate is 30 percent.The tax rate on dividends is 4.1 percent; on interest is 4.99 percent or 30 percent for related parties or when requirements stated by law are not comply. Capital gains are taxed at 30 percent.
The corporate tax rate is 30%. Corporations and resident foreign corporations are subject to a 2% minimum corporate income tax (MCIT) starting their fourth year of operation. The MCIT is based on gross income and it is paid in lieu of the 30% corporate tax on net income whenever it is greater than the latter. A 10% improperly accumulated earnings tax (IAET) is imposed on undistributed earnings of closely-held corporations, except branches of a foreign corporation and Philippine Economic Zone Authority (PEZA) registered corporations. PEZA registered corporations pay the special tax on gross income earned in lieu of all taxes.
Statutory withholding tax rates are the following:
(1) The corporate tax rate is 23%. The general CT rate of 23% is increased by (i) a municipal surcharge (Derrama Municipal) varying from 0% to 1.5% to be levied over the taxable profit and (ii) a State surcharge (Derrama Estadual) of 3% to be levied over the taxable profit between EUR1,500,000 and EUR7,500,000, 5% to be levied over the taxable profit between EUR7,500,000 and EUR35,000,000 and 7% exceeding EUR35,000,000.
(2) According to the Corporate Income Tax Reform, the corporate tax rate is expected to be further reduced between 2015 and 2018, as follows (CIT rate / Municipal Surcharge / State Surcharge): 2015 (20% / 1.5% / 5%); 2016 (17% to 19% / 1.5% / 5%); 2017 (17% to 19% / 1.5% / 2%); and 2018 (17% to 19% / 0% / 0%). Please note that this reduction is not yet approved and should depend on the performance of the Portuguese economy and the State deficit during the following years.
The corporate tax rate is 10% in Qatar and is generally applicable to only foreign investors. Wholly owned Qatari/GCC entities are exempt from corporate taxation.
The statutory corporate income tax rate is 16%. Taxpayers involved in activities related to nightclubs, casinos, discotheques, and sport-betting organisers, including legal entities which obtain such type of revenues based on an association contract, and in case the relevant profit tax is lower than 5% of the revenues derived from those activities, then such taxpayers are obliged to pay a profit tax of 5% levied on the respective registered revenues.
Certain exceptions would apply to investments in deprived areas (according to transitional dispositions).
Moreover, there is a specific regime applicable to Romanian legal entities which may fulfill certain conditions to qualify as micro - enterprises. Such regime is mandatory. The relevant corporate income tax rate under this regime is 3% (levied on revenues of any source).
The corporate tax rate is 20%. Tax payments are split into federal part (2%) and regional part (18% that can be reduced to 13.5% for some categories of taxpayers). Dividends are taxed at 15%, 9% or 0%. Interest income on state securities is taxed at 15%, 9% or 0%.
The corporate tax rate is 27 percent.
The corporate income tax rate is 20%. Corporate income tax is payable by non-Saudi shareholders only. Zakat (a religious tax) at 2.5% is levied on Saudi and the Gulf Cooperation Council (GCC) nationals or companies owned by them. The GCC countries consist of Saudi Arabia, Kuwait, United Arab Emirates, Bahrain, Qatar, and Oman. In addition to corporate income tax, withholding tax of 5% is payable on dividends distributed to non-resident shareholders.
The corporate tax rate has been increased to 15% as of 1 January 2013. Taxable profit is calculated by adjusting the company's profit or loss declared in the P&L account according to the provisions of the Corporate Income Tax Law. Adjustments include certain disallowed costs, adjustment of certain revenues, transfer pricing as well as depreciation.
The corporate tax rate is 17%. From the Year of Assessment (YA) 2013 to 2015, companies will receive a 30% corporate income tax rebate capped at SGD30,000 per YA. There is a partial exemption of 75% on the first SGD10,000 and 50% on the next SGD290,000 of the company's income. Start-up tax exemption can be granted on the regular income of a qualifying company on its first SGD100,000, and a further 50% exemption is given on the next SGD200,000, for each of its first three consecutive years of assessment. A concessionary tax rate of 10% or lower applies to qualified entities.
[Note: The above note may be subject to change in view of the 2014 Budget statement which will be delivered on 21 February 2014.]
The corporate tax rate is 34.5% (incl. 15% surcharges)
The corporate income tax rate for 2014 is 22 percent. This tax rate applies only for taxable periods which started on 1 January 2014 or later. Therefore, taxpayers with a financial year other than the calendar year have to apply the 23 percent tax rate for their entire financial year 2013/2014.
The corporate tax rate is 17%.
Taxable persons performing non-profit activities are exempt. There is also a special rate of 0% which, subject to certain conditions, may apply to investment funds, pension funds, insurance undertakings for pension plans, and qualified venture capital companies.
From 1 April 2012 Secondary Tax on Companies at a rate of 10% was abolished and replaced by a dividend withholding tax at a rate of 15%. This moves the dividend tax to a shareholder tax. This means that the effective corporate tax rate is 28% going forward.
The corporate tax rate is 11%(including 10% of local income tax) up to 200 million Korean Won, 22%(including 10% of local income tax) over 200 million to 20 billion Korean Won and 24.2%(including 10% of local income tax) over 20 billion Korean Won.
The corporate tax rate is 30%. Where a company's turnover (alone or combined with other group companies) in the immediately preceding tax period is less than EUR10 million, it is taxed on the first EUR300,000 of taxable income at 25% and the excess being taxed at 30%. Where a company's turnover in 2013 is less than EUR5 million and the average labor force from 2009 to 2013 tax year is less than 25 employees, it is taxed on the first EUR300,000 of taxable income at 20% and the remaining at 25%. Certain specific requirements need to be met. Entities taxed at 25% include general mutual insurance companies; social welfare institutions and qualified social security mutual and guarantee entities; credit and rural credit co-operatives; and qualified non-profit organizations. Tax protected co-operatives will be taxed at 20%, except in respect of results not related to their corporate purpose, which will be taxed at the general rate. Qualified non-profit organizations are taxed at a rate of 10%, and collective investment institutions at 1%. For fiscal years beginning as from 2013, start-up companies incorporated as from 1st January 2013 will be taxed in the first period showing a positive taxable base and the following fiscal year on a progressive rate. In this respect, the first EUR 300,000 of taxable income will be taxed at 15% rate and the excess will be taxed at 20% rate.
The corporate income tax rate is 28% (effective 1 April 2011). Small companies (with turnover not exceeding LKR 500 million and not belonging to a group of companies) are taxed at a lower rate of 10%. Certain sectors enjoy concessionary rates, such as exports (other than traditional products), tourism and construction which are taxed at 12%, and agriculture which is taxed at 10%, with an exemption on offshore services. Companies engaged in liquor or tobacco products are taxed at a higher rate of 40%. The social responsibility levy of 1.5% on income tax was rescinded effective 1 April 2011. A deemed dividend tax at 15% is applicable for non-declaration of at least 10% of distributable profits.
The corporate tax rate is (ziro%/10%/15%/30%/35%). Agricultural companies are subject to corporate income tax at a rate of ziro%.Industrial companies are subject to corporate income tax at a rate of 10%. Trading, real estate, and service companies are subject to corporate income tax at a rate of 15%.Banks & Tobacco companies are subject to corporate income tax at a rate of 30%. Oil companies are subject to corporate income tax at a rate of 35%. Entities that are exempt from corporate income tax exemption will be subject to development tax at a rate of 5% of the exempt taxable profit.
The corporate tax rate is 22% as from 1 January 2013.
The maximum effective corporate income tax rates range from 11.48% to 24.43% depending on canton and commune. The rates comprise federal, cantonal, and communal taxes. However, please note that to date 9 of 26 cantons have not yet published the 2014 tax rates.
All 26 cantons apply different tax rates and in most of them the statutory tax rate needs to be multiplied with the communal and/or cantonal coefficients that may vary from tax period to tax period. As all taxes including corporate income taxes are deductible when computing the tax basis, the effective corporate income tax rates are lower than the statutory rates published in the tax codes.
The average of the maximum effective corporate income tax rates in the capital cities of the cantons is 17.92%. Please note that until 2012 the tax rate in the city of Zurich (currently 21.15%) was published in this survey as the main tax rate of Switzerland. However, it has been decided that the average tax rate applicable in the capital cites of the cantons is considered to be more meaningful. The 2006 – 2012 tax rates have been adjusted accordingly.
In 2014, the community of Meggen in the canton of Lucerne has the lowest corporate income tax rate (11.48%) while some communities in the canton of Geneva have the highest (24.43%). However, if a company qualifies for a holding, principal, or mixed company ruling, the effective tax rate can be reduced to a minimum of 5%. Additionally, full tax holidays up to 10 years might be available in some regions.
The corporate tax rate is 28 percent. The lower progressive rates are on the first SYP 3 million of taxable profit. Investment law entities, LLCs and closed JSCs are taxed at a flat rate of 22 percent; private banks at a flat rate of 25 percent; and public majority joint stock companies at a flat rate of 14 percent. Additional local administration surcharges vary from 4 percent to 10 percent of the tax amounts, depending upon location. Branches of foreign companies are subject to withholding taxes on cash payments received in lieu of corporate income tax and tax on salaries and wages, at rates that vary from 3 percent to 10 percent depending on their activities. Tourism entities of the luxury and international class are subject to tourism tax at 3 percent of gross monthly turnover in lieu of income tax and tax on salaries and wages.
The corporate tax rate is 17%. The 17% rate is applicable to income when it is more than TWD 120,000. However, the income tax payable shall not exceed half of the part of taxable income that exceeds TWD 120,000. Starting from the fiscal year of 2010, the corporate income tax rate is reduced from 25% to 17%.
The corporate tax rate is 30 percent. Profits after tax are subject to 10 percent withholding tax when distributed as dividend, resulting in an effective tax rate of 37 percent for a profit-making and dividend-distributing business organization.
The corporate tax rate is 20%. The CIT rate is reduced from 30% to 23% for the tax year starting in 2012, and to 20% for the two subsequent tax years. It is expected that the 20% CIT rate will be effective post-2014. A progressive CIT rate applies to small and medium sized enterprises (SMEs), starting with a 0% tax bracket scaling up to a highest bracket of 23% for 2012 and 20% for 2013 and thereafter. An SME is a company with no more than THB 5 million of paid-up capital and no more than THB 30 million turnover. Remittances of dividends and branch profits are subject to 10% withholding tax (WHT). The Board of Investment (BOI) provides tax incentives for promoted businesses, including CIT exemptions and reductions, dividend WHT exemption, and import duty exemptions. Application must be made with the BOI to qualify. The CIT rate applicable to a company operating as a regional operating headquarters (ROH) company can range from 0% to 10%. No WHT is assessed on dividends paid from certain income earned by the ROH. A 50% petroleum income tax is imposed on profits earned from petroleum sales. Foreign companies engaged in international transportation are taxable at the rate of 3% on gross income.
The corporate tax rate is 25%. For companies engaged in the liquefaction of natural gas, manufacture of petrochemicals, physical separation of liquids from a natural gas stream and natural gas processing from a natural gas stream, transmission and distribution of natural gas or wholesale marketing and distributions of petroleum products a corporate tax rate of 35% applies.
The corporate tax rate is 25%. Fully export companies are taxable at the rate of 10% as per 1 January 2014. Such companies established before 1 January 2014 and for which the 10 years tax holidays did not expire, continue to benefit from a tax holiday for 10 years. For new fully exporting companies, to be incorporated by 31 December 2013 and starting their first sale exporting during 2014, they benefit of 10 years Corporate Income Tax exemption on their export activities.
A 35% rate applies to the financial activities, for telecommunication operators and for the service suppliers of the gas and oil operators; those latters are subject to a progressive tax rate ranging between 50% and 75%. A rate of 10% applies to the agriculture and fishing sectors. The corporate income tax rate applies to resident companies and to permanent establishments of non-resident companies with a minimum tax payable of 0.2% under certain conditions.
The corporate tax rate is 20 percent. A resident company is liable to corporate income tax on its worldwide income. A non-resident company is liable to corporate income tax on its Turkish-source income only.
The corporate tax rate is 30 percent.
The corporate tax rate is 18%.
A 0% rate applies to income of insurance companies (from long-term life and pension insurance) as well as eligible small and medium-size companies.
A 3% rate applies to income derived by insurance companies from other insurance activities.
A 5% rate applies to eligible IT businesses.
A 10% rate applies to capital gains realized on dispositions of certain securities and derivatives.
Businesses that operate in certain industries (e.g. hotelling, shipbuilding and aircraft manufacturing, agricultural machinery manufacturing, clean energy sector, light industry), or implement priority investment projects, can be temporarily exempt from paying corporate income tax (in full or in part).
Eligible domestic agricultural producers can elect to pay a fixed agricultural tax in lieu of the corporate income tax and certain other taxes.
The corporate tax rate applicable in the UAE is 0%/20%/55%. The United Arab Emirates consists of seven emirates: Abu Dhabi, Dubai, Sharjah, Ajman, Umm Al Quwain, Fujairah, and Ras Al Khaimah. While there are no corporate income taxes at a federal level, the emirates have issued their own income tax decrees. Although in theory these emirate-level decrees impose tax on the income of all corporate entities, in practice tax is currently only enforced on foreign oil companies engaged in the exploration and production of oil and branches of foreign banks. Although the tax rate applicable to oil companies is generally 55% of operating profits, the amount of tax actually paid by such companies is based on a rate agreed in individual concessions between the company and the respective emirate. This rate can range between 55% and 85%. Branches of foreign banks are subject to tax at 20% of their profits under the banking tax decrees. Municipal taxes are also levied in some of the emirates in the UAE. In Dubai, a 10% municipal tax is charged on hotel revenues (usually passed on to the consumer as a service charge), a 10% municipality fee is levied on the rent from commercial property, and a 5% fee is levied on the rent of residential property. Abu Dhabi does not levy a municipality tax on rented premises, but landlords are required to pay certain annual license fees (which they may pass on to tenants).
The corporate tax rate is 23%. The UK government has announced a staged reduction in the main rate of corporation tax. From 1 April 2012 the main rate of corporation tax was reduced from 26% to 24%, from 1 April 2013 it was reduced to 23%, from 1 April 2014 it will be reduced to 21% and from 1 April 2015 it will be reduced to 20%. A small companies rate applies until 1 April 2015 to companies with taxable profits of up to GBP 300,000 with marginal relief up to GBP 1.5 million. The current small companies rate of 20% has been in place since 1 April 2011. Companies with taxable profits of GBP 1.5 million or more pay tax at the main rate. All these thresholds are reduced for accounting periods of less than 12 months and if there are associated companies. Bermuda, Gibraltar, Guernsey, Isle of Man, and Jersey are dependent territories or crown dependencies of the United Kingdom, but have their own tax systems.
The corporate income tax rate is approximately 40%. The marginal federal corporate income tax rate on the highest income bracket of corporations (currently above USD 18,333,333) is 35%. State and local governments may also impose income taxes ranging from 0% to 12%, the top marginal rates averaging approximately 7.5%. A corporation may deduct its state and local income tax expense when computing its federal taxable income, generally resulting in a net effective rate of approximately 40%. The effective rate may vary significantly depending on the locality in which a corporation conducts business. The United States also has a parallel alternative minimum tax (AMT) system, which is generally characterized by a lower tax rate (20%) but a broader tax base.
Corporate income tax is not levied within the Republic of Vanuatu. Furthermore, there are no income taxes, estate duties, gift duties, capital gains taxes, tax treaties or withholding taxes.
The corporate tax rate is 34%. Corporations engaged in the exploitation of hydrocarbons and related activities are generally subject to corporate income tax at 50% (also applicable to income from any other sources). This rate does not include municipal business taxes which range from 0.3% to 9.4% of gross income, depending on the district, and the business activity. The 34% marginal income tax rate is triggered at net taxable income exceeding 3,000 tax units (TU). The value of tax units is annually adjusted. For the year 2014 1TU is Bs.107.
The standard tax rate is reduced to 22% from 1 January 2014. From 2016 it will be further reduced to 20%. Special or preferential tax rates of 10% or 20% can be granted to encouraged investment projects. Certain industries may have a higher tax rate applied (e.g. oil and gas operations and natural resources exploitation from 32% to 50%).
The corporate tax rate is 20 percent.The corporate income tax rate applies to all categories of commercial activity. A tax rate of 15 percent is available to projects licensed under the investment law. Oil and mineral activities and telecommunications are subject to special rates of taxation, and agriculture is tax exempt.
The corporate tax rate is 35%. The tax rate for mining profits is 30% plus a variable profit tax of up to 15% if the profit is in excess of 8% of the turnover.
Income earned by telecommunication companies is subject to 40% tax on profits in excess of ZMK 250 million.
Profits from farming are taxed at 10%.
Profits from the manufacture of chemical and organic fertilizer production, and export of non-traditional items are taxed at a rate of 15%.
Companies with a turnover of ZMK 800 million or less pay a turnover tax of 3%.
Finally, the tax fiscal year now runs from January 1 to December 31.
Standard rate is 25% and in addition there is a 3% AIDS Levy on the tax making the rate effectively 25.75%
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