Many companies have established entities in tax havens as they operate trading businesses in those tax havens servicing the local population. Telstra, for example, controls 20 subsidiaries across five tax havens, including Jersey and Mauritius. Telstra uses several of these tax haven entities to provide telephone services to the local population.
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Undertaking a property development in a SMSF can result in zero tax payable if the fund is in the pension phase (or 15% if the fund is in the accumulation phase). Extra care must be undertaken to ensure that the super fund complies with the SIS Act, including all of the following: The arm’s length…
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The window tax was a property tax based on the number of windows in a house. It was designed to impose tax relative to the prosperity of the taxpayer, with the logic being that the rich had bigger houses with more windows, so should pay more tax than the poor (with fewer windows). The tax…
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The General Corporation Law (Title 8, Chapter 1 of the Delaware Code) is the statute governing corporate law in the U.S. state of Delaware. It has been the most important jurisdiction in United States corporate law since 10th March 1899 when it enacted corporate-friendly laws to attract businesses from New York. The general incorporation…
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The Junior Mineral Exploration Tax Credit (JMETC) encourages non-mining investors to invest in exploration companies and help fund their exploration activity. The JMETC allows mining companies undertaking exploration to renounce their deductions for exploration, and pass the benefits of those deductions onto shareholders. The shareholders can then use the credits to reduce their tax payable…
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A beard tax is one of several taxes introduced throughout history on men who wear beards. In 1535, King Henry VIII of England (who wore a beard himself), introduced a tax on beards. The tax was a graduated tax, varying with the wearer’s social position. Although there are contemporary documents evidencing that beard-pulling was a…
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Without political and economic stability, no amount of tax inducement can bring in outside investors. No company or individual, whether local or international, will feel comfortable making any kind of capital investment in any country where the political climate is characterised by upheavals and a lot of uncertainty. African instability itself explains why Africa still…
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An associate lease is an agreement where an associate of the employee (typically spouse or partner), leases an existing or replacement car to the employee’s employer. The employer then provides the car to the employee via a pre-tax salary sacrifice arrangement. I.e. The employee pays for most of the vehicle’s operating costs from their pre-tax…
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The general anti-avoidance rules contained in Part IVA of the Income Tax Assessment Act 1936 (Cth) (‘Part IVA’) may be applied by the Australian Taxation Office (ATO) to deny a taxpayer the tax benefit of a scheme they have entered into. The key features of Part IVA include the following: Is there a scheme? Has…
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The key reason Hong Kong is among the world’s largest financial centres is that it doesn’t have any currency controls. You can freely send money to and from Hong Kong and there are no limits. The lack of exchange controls, provides investors with confidence that their money is secure and safe, and can be quickly…
Read More »"You’d be stupid not to try to cut your tax bill and those that don’t are stupid in business"
- Bono: U2