The Ministry of Finance in Cyprus announced, in agreement with Russian Government, to abolish the introduction of source-based taxation of capital gains on disposal of shares in property-rich companies.
Disposals of shares in property-rich companies will continue to be taxable only in the country of residence of the person disposing of the shares. This means that gains on disposals of shares will continue to be tax free.
The scheme covers income tax, VAT, special defence contribution, immovable property tax, capital gains tax, stamp duties, special contribution for employees, pensioners and self-employed persons, and inheritance tax.
The repayment scheme introduced allows 54 monthly instalments for tax obligations below €100,000, and 60 monthly instalments where the obligations exceed €100,000. The tax commissioner has been provided with the discretion to rule on discounts on interest and penalties on a case-by-case level.
Interested parties must submit an application within 3 months of the date on which the new law becomes effective. The date of implementation has not yet been determined. Official announcement will follow.
Swiss Citizens are being asked in a national referendum next Sunday to approve reforms that would eliminate selective tax deals and introduce unified low rates for all companies.
Whom do the reforms apply to?
Under the proposed reforms international and domestic companies would pay the same rates. Supporters of the reforms point out that while multinational companies will face slightly higher tax rates, for ordinary companies tax will be much lower. That could stimulate investment and job creation.
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German credit rating agency Creditreform Rating AG, one of the leading rating agencies in Europe, assigned an A+ long-term sovereign rating to Malta. Creditreform described its future outlook as stable.
Malta’s potential growth is among the highest of all Euro area members
In its report, Creditreform claims that the positive sovereign rating was based on “Malta’s high level of creditworthiness mainly based on its strong macroeconomic performance and strong fiscal sustainability.”
The report also pointed out, that Malta’s potential growth is among the highest of all Euro area members. Additionally, such dynamic growth is supporting Malta’s income convergence towards the EU-28 average.
According to this report, a favourable growth prospect for the Maltese economy is forecasted in the coming years. This is mainly due to moderate growth in investment and growth in private consumption reflecting further improvements in labour market conditions and wage growth.
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According to Oberthur.com, 65% of the total card fraud represents online “card-no-present” transaction frauds due to the rise of e-commerce around the world. However, OT has developed a ready-to-go solution for banks and financial institutions.
What does the solution include?
This solution basically includes a card issuance and the server that secures online transactions by shortening the validity of the cryptogram security code : MOTION CODE™. Dynamic Security Code cards feature a mini-screen on the back of the card. It displays the security code (a 3 or 4-digit code usually printed onto the back of a payment card) used for online purchases.
Furthermore this code is refreshed randomly and automatically every hour, even without the card-holders having to press any button or install any special plug-in on their internet browser. On the other hand, if the card data gets stolen, that card data becomes useless in the following hour.
Good news for E-merchants is, that the won’t have to modify their websites, because the cryptogram code generated by the card is used as a standard one, on existing payment pages without actually any need for extra button or pop-up window of any kind.
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There are following changes with regard to taxes in Bulgaria in 2017:
- January 2017 – companies performing exclusively innovation, research and development activities as well as related activities are exempted from payment of profit tax in first 10 years of activity. This fiscal incentive could be applied only in case the state aid legislation is observed.
- February 2017 – companies whose revenues in the previous financial year do not exceed EUR 500.000 (exchange rate valid at 31 December) and fulfil the rest of the three criteria already applicable in microenterprises case, will be held liable for payment of tax on microenterprises. Microenterprise tax is 1% in case of companies having 1 or more employees and 3% in case of companies without employees. The microenterprise tax of 2% was repealed.
- Microenterprises which realize revenues exceeding EUR 500.000 or the percent of revenues obtained from consultancy and management activities exceeds 20% of their total revenues, will be held liable for payment of profit tax starting with the quarter when one of the above mentioned limits is exceeded.
The 30%-ruling is a tax facility provided in the Wage Tax Act for employees who have been seconded to the Netherlands or recruited from abroad to work in the Netherlands and who meet certain conditions. These employees are referred to as ‘extraterritorial employees’. If the facility is granted, the employer may pay the employee a – fixed – tax-free allowance of up to 30% of the employee’s employment income.
Conditions:
- The 30%-ruling is available to employees only.
- The employee must be seconded to the Netherlands or recruited from outside the Netherlands.
- the employee must have lived at a distance of more than 150 km from the Dutch border during more than 2/3 of the 24-month period preceding the start of the employment in the Netherlands.
- Employer (Dutch or non-Dutch) must be a Dutch wage tax withholding agent maintaining a payroll in the Netherlands.
- The employee must have specific expertise which is not or scarcely available on the Dutch labour market.
- Minimum salary level of € 36,889 (2016).
- For employees under the age of 30 with a qualifying Master’s degree, a minimum salary level of € 28,041 (2016) is applicable.
- The salary requirement which is adapted each year, must be met continuously.
A request for the application of the 30%-ruling will only be granted if the employee and the employer jointly file an application with the Tax Office.
The application for the 30%-ruling must be filed within four months from the start of the employee’s employment (first working day).
For the 30%-ruling to apply, the employer and employee must agree (in writing) that a separate tax-free allowance for extraterritorial expenses will be paid in addition to the gross salary, amounting to (at a maximum) 30% of the remuneration.
The ruling applies for a maximum period of eight years, as long as the employee meets the requirements of the 30%-ruling (which will be verified continually).
