Gibraltar Parliament approves Private Foundations Bill

A Bill to permit the establishment of Private Foundations in Gibraltar was passed by Parliament together with the consequential amendments to the Income Tax (2010) Act. The legislation will provide a long-awaited framework for the establishment of foundations in Gibraltar. A foundation is an entity with a separate legal personality. The foundation charter and foundation rules…

Australia introduces Diverted Profits Tax

The Australian Parliament approved a new Diverted Profits Tax (DPT), which is designed to “encourage greater compliance by large multinational enterprises with their tax obligations in Australia, including with Australia’s transfer pricing rules.” The DPT will apply at a penalty tax rate of 40%, from 1 July 2017, and will be inserted into the existing…

The news from Brussels and tax after Brexit

The establishment of the European Customs Union in 1968 was a very significant step.  It has an internal and external aspect.  So too does direct tax policy.  The internal aspect of the direct tax policy includes the Anti-Tax Avoidance Directive, containing a general anti-avoidance rule and other things.  The policy aims at transparency – including…

UK after Brexit

The promise of a referendum on membership of the EU featured in the Conservative party memorandum before the last election.  When the referendum took place, the “leavers” were = unexpectedly – successful.  The Great Reform Act provided for the embodiment of EU law in domestic law, but it is contemplated that many of the provisions…

Aggressive Taxation and Invasion of Privacy

In some cases, onshore jurisdictions can offer much of the tax benefit of offshore trusts. The privacy of the trust is also a consideration. The New Zealand foreign trust takes advantage of what was originally an anti-avoidance provision: it and exempts trusts with foreign settlors and under some treaties is treated as New Zealand resident,…