Global Tax Management

Tuesday, May 17, 2016

IoT: is ‘Google’ the adviser of the future?

To translate to tax, this is what I wrote in 2012:

Is Google the Adviser of the Future?

Non-traditional competitors are entering the service provider market and capturing market share:

Who are they?
Can content service providers ignore these trends?
Will technological innovation get an extra boost from this economic climate?
What can we expect next?
Is ‘Google’ the adviser of the future?

OECD - Tax Administrations and Capacity Building

Effective tax systems are a critical building block for increased domestic resources in developing countries, essential for sustainable development and for promoting self-reliance, good governance, growth and stability.

OECD - Co-operative Tax Compliance Building Better Tax Control Frameworks

On May 13, 2016 the OECD published the report. It outlines the essential features of a Tax Control Framework (TCF) and addresses revenue bodies’ expectations of TCFs.

It includes a discussion of the issue of materiality, as it is important to understand the relationship between what is material for the purposes of systems of control, such as the external audit of a multinational enterprise’s accounts, and what is material in terms of the tax liabilities arising from that enterprise’s activities in a particular country.

It also discusses how revenue bodies could approach the task of testing the soundness of a TCF in any particular case and finally, sets out conclusions, recommendations and next steps.

Saturday, May 14, 2016

Analyze the past, predict the future and redefine yourself

There’s a building in the Cayman Islands that houses supposedly 12,000 U.S.-based corporations. That’s either the biggest building in the world or the biggest tax scam in the world, and we know which one it is - Barack Obama

Apple’s, Google's and Coca Cola’s tax assessments are material from an annual report perspective besides financial risks contain reputational risks.

Italian tax police believe Google evaded 227 million euros in taxes.
Apple has agreed to pay €318m (£235m, $348m) to Italian tax authorities following a two-year fraud investigation, according to reports.
Google agreed to pay the UK treasurer £130 million ($185 million) in back taxes, covering the period since 2005, and to also pay higher taxes in the future.
France is seeking 1.6 billion euros ($1.76 billion) in back taxes from U.S. Internet giant Google.

Let's discuss the past, impact and what to do ...