Author: News Desk

Vietnam’s government has announced a landmark regulation under Decree No. 117/2025/NĐ-CP, requiring all e-commerce platforms operating within the country to withhold and remit Value-Added Tax (VAT) and Personal Income Tax (PIT) on behalf of individual and household sellers, effective from July 1, 2025. This regulatory shift underscores Vietnam’s commitment to strengthening tax compliance in its rapidly growing digital economy. Scope and ApplicabilityThe new decree targets both domestic and foreign e-commerce platforms that facilitate direct payments to sellers, placing the onus of tax collection squarely on these intermediaries. Taxes are to be withheld at the transaction’s successful payment point, mandating platforms…

The Internal Revenue Service (IRS) has reiterated that taxpayers who fail to meet the federal tax filing deadline still have several options to manage their tax obligations and avoid unnecessary penalties. This announcement comes as many taxpayers face challenges due to complex financial situations, ongoing economic uncertainties, and evolving tax rules. Extension and Late Filing OptionsTaxpayers who missed the April 15 deadline can request an automatic extension to file their return, generally extending the deadline by six months to October 15. While this extension grants more time to file, it does not extend the deadline for payment of any taxes…

Australia is advancing a significant reform targeting the wealthiest holders of retirement savings, as the government moves to impose an additional tax on superannuation investment earnings exceeding AUD 3 million (approx. USD 2 million). This follows growing concerns that the nation’s AUD 4.1 trillion pension system is increasingly being used as a vehicle for wealth accumulation among high-net-worth individuals. Under the new proposal introduced by the Labor government, an extra 15% levy will be applied on profits generated from pension balances above the AUD 3 million threshold. This surcharge comes on top of the standard 15% tax already imposed on…

Brazil’s government is moving forward with a significant tax increase on the licensed gambling sector, proposing a rise in the gross gaming revenue (GGR) tax rate from 12% to 18%. This 50% hike is formalized in Provisional Measure No. 1,303, amending existing gambling legislation. However, industry stakeholders are raising alarms over the financial viability of legal operators and the unintended expansion of the illegal gambling market. The Tax Increase and Its Allocation The new tax rate stipulates that of the 18% GGR tax, 6% will be earmarked for social security and health contributions, while the remaining 12% will be allocated…

Mexico’s Tax Administration Service (SAT) has seen a remarkable surge in revenue collection from transfer pricing audits, fueled by innovative enforcement strategies and cutting-edge technology. Between 2019 and 2024, SAT collected approximately 106.2 billion pesos ($5.5 billion) from large multinationals—an increase of 367% compared to the previous six years. This unprecedented growth marks just the beginning of what many tax practitioners describe as a revolution in Mexico’s approach to combat tax evasion and ensure multinational compliance. Technology-Driven Enforcement Central to this transformation is SAT’s strategic investment in advanced analytics and statistical learning models to monitor high-risk sectors. These technologies enable…

Abu Dhabi Commercial Bank (ADCB), a UAE tax resident with Indian branches, advanced External Commercial Borrowing (ECB) loans directly from its UAE head office to Indian clients, earning interest income of ₹138.48 crore. The bank claimed a concessional 5% tax rate under Article 11(2) of the India-UAE Double Taxation Avoidance Agreement (DTAA), after setting off ₹75.32 crore business losses of its Indian Permanent Establishment (PE) against the interest income. The Dispute Over Set-Off of PE Losses Against Interest Income The Indian tax authorities rejected the set-off, citing Article 11(2) that taxes “gross” interest income, meaning no deductions or loss adjustments…

Overview of Singapore’s Carbon Tax Policy and Revenue Projections In 2024, Singapore increased its carbon tax rate from SGD 5 to SGD 25 per ton of CO₂ equivalent—a fivefold hike aiming to reinforce its commitment as a regional climate policy leader. However, the expected revenue of SGD 1 billion (~USD 776 million) fell short by over 30%, with actual revenue reaching an estimated SGD 640 million (~USD 497 million). Key Reasons Behind the Revenue Shortfall Experts attribute the shortfall primarily to extensive tax exemptions and transitional allowances offered to industries heavily exposed to global competition. Despite the increased rate, relatively…

At the recent International Air Transport Association (IATA) Annual General Meeting (AGM) held in New Delhi—the first in India in over 40 years; airline executives voiced strong concerns over India’s heavy, complex, and unpredictable tax regime on jet fuel and aviation services. Context of IATA’s Annual General Meeting in New Delhi Hosting the IATA AGM marks a significant moment for India’s aviation sector, underscoring its growing importance in the global market. However, the event also brought to light ongoing challenges stemming from the country’s tax policies. Overview of India’s Aviation Taxation Issues India imposes multiple layers of taxes on jet…

Congressional Republicans are preparing for a significant tax cliff at the end of President Trump’s term. While they push to make the 2017 Tax Cuts and Jobs Act (TCJA) permanent, other provisions designed to support working-class Americans are slated to expire by the end of 2028. Overview of the 2017 Tax Cuts and Proposed Permanency The 2017 TCJA delivered sweeping tax reforms, many of which Republicans aim to keep permanently. Business provisions such as expensing and R&D tax credits are also expected to be locked in for the long term. However, additional cuts including the boosted standard deduction, senior deductions,…

The European Union’s Commission has proposed the exclusion of Panama from its official list of high-risk jurisdictions associated with money laundering and terrorist financing activities. This recommendation is part of an updated Delegated Act that revises the EU’s list of countries under enhanced scrutiny, incorporating additions and removals. Background on Panama’s AML and CTF Reforms The decision to recommend Panama’s removal follows the guidance provided by the Financial Action Task Force (FATF), which officially removed Panama from its blocklist on October 27, 2023. Panama has demonstrated continued improvements in financial transparency and has strengthened its national frameworks to combat illicit…