Economy

30
Jun

Public discussions will be held until 06 September 2013 HM Revenue & Customs has published a Discussion on the UK-CD/OT model Agreement for automatic exchange of information to be entered into between the UK and Crown Dependencies/Overseas Territories to improve international tax compliance. According to HMRC, the first step towards new international standard is to conclude agreements between the UK and the British Crown Dependencies (Isle of Man, Guernsey and Jersey) and those Overseas Territories with financial centres (Anguilla, Bermuda, the British Virgin Islands, the Cayman Islands, Gibraltar, Montserrat and the Turks and Caicos Islands). The proposals will be reviewed in light of the responses, with the view to introducing regulations and guidance in autumn 2013. www.hmrc.gov.uk

30

Improving Global AML/CFT Compliance As part of its on-going review of compliance with the AML/CFT standards, the FATF 21 June 2013 has identified the following jurisdictions which have strategic AML/CFT. Those jurisdictions are: Afghanistan, Albania, Algeria, Angola, Antigua and Barbuda, Argentina, Bangladesh, Cambodia, Cuba, Kuwait, Kyrgyzstan, Lao PDR, Mongolia, Morocco, Namibia, Nepal, Nicaragua, Nigeria, Sudan, Tajikistan and Zimbabwe. In report it was noted that Algeria and Antigua and Barbuda, has not made sufficient progress and if there will be no improvement by October 2013, FATF will identify these jurisdictions as being out of compliance. It was also noted that FATF welcomes Bolivia, Brunei Darussalam, Philippines, Sri Lanka and Thailand as jurisdictions that are compliant with AML/CFT regime and no longer subject to FATF's monitoring process. www.fatf-gafi.org

30

European finance ministers on 26.06.2013 agreed a deal on new rules to shift the burden for future bank rescues from taxpayers to the financial sector The measures, which still have to be adopted by the European Parliament, will force bank owners and bond holders firstly and then depositors with more than 100,000 euro to bear the losses. "Our aim is to have a common approach throughout Europe so our taxpayers no longer have to shoulder the burden," said Irish Finance Minister Michael Noonan, who chaired the talks as current holder of the EU presidency. Noonan said governments would no longer have to save banks that were "too big to fail" as the deal would end the "vicious link" that forced countries to step in and rescue lenders in order to prevent wholesale collapse. Hopefully the new rules would be finalised by early next year at the latest and the plan is that they would then come into effect from 2018. www.eubusiness.com

21
Jun

US Airways Group and American Airlines are seeking EU antitrust approval for their planned $11 billion merger, which would create the world's largest carrier. The proposed tie-up, the fourth in the U.S. airline industry since 2008, could strengthen recovery in the sector and give carriers more power to raise prices. The European Commission, which assesses such deals in the 27-country European Union for their competition impact on consumers and rivals, said on its website on Wednesday that it would decide on the issue by July 23. FINANCIAL COMMENTARIES AND GUIDESADVERTISEMENT POWERED BY I'm approaching retirement. How do I find income? Show me 10 Trading Mistakes that Spell Disaster - Free 6 page guide Download Free Guide The EU competition authority could either clear the merger without requiring concessions or extend its scrutiny by 10 working days if the airlines were to offer remedies. It could also open a detailed investigation that could take about three months if it has concerns. Two U.S. lawmakers on Tuesday called for a careful review of the merger by U.S. authorities to protect travellers from higher prices. Rueters, June 19, 2013

29
May

These new rules apply retroactively to tax periods commencing on or after 1 January 2012 On the 17th of May 2013 Malta parliament approved tax amendments that were previously announced during the Budget speech in November 2012. Tax amendments include the introduction of two new tax exemptions, namely: - Branch Profits. Malta operates a full participation exemption with respect to dividends and gains derived from qualifying shareholdings. The participation exemption regime is broadened to include profits and gains derived by a Maltese company that are attributable to a permanent establishment (PE) situated outside Malta, or to the transfer of such PE. The intent of this is the ensuring of compliance with EU law. Profits and gains are to be calculated as if the permanent establishment is an independent enterprise operating in similar conditions and at arm's length. - Trademark Royalties. Malta operates a full tax exemption with respect to royalties derived from registered patents and copyrights. The amendments extend the exemption to royalties derived from qualifying trademarks. www.csbgroup.com