A global tax deal could be wrapped up soon, with French Finance Minister Bruno Le Maire noting that "we are one millimeter away from a global agreement on a new international taxation system for the 21st century." European Commission Vice President for Trade Valdis Dombrovskis indicated that the hope is to finalize the deal within the month of October.
The EU is taking Anguilla, Seychelles and Dominica off of its tax haven blacklist, creating controversy given the recent emergence of the Pandora Papers. The papers, the subject of a far-reaching journalistic investigation based on nearly 12 million documents, detail the use of shell companies and offshore structures to shelter assets from taxes.
Indonesia could bring in as much as $17.5 billion in additional revenue from a tax proposal that includes raising the value-added tax and implementing a carbon tax. The country's government is seeking to lower its fiscal deficit to 3% of GDP by 2023.
Remote working has raised new cybersecurity risks for companies, and attacks "can affect both the integrity and reliability of financial information, creating risks of material misstatement, which the external auditor needs to assess," writes Jana Schmitz. The Australian Auditing and Assurance Standards Board has published a report on the issue, outlining the potential impact of breaches.
The number of scams targeting Canadian businesses appears to be on the rise, with the Canadian Anti-Fraud Centre receiving 2,317 such reports last year. Extortion was the most frequently reported issue, while spear-phishing was the costliest issue, according to the group.
The UK has agreed to delay implementation of the "making tax digital" project that could affect reporting processes for businesses and self-employed people. "[We] recognize that, as we emerge from the pandemic, it's critical that everyone has enough time to prepare for the change, which is why we're giving people an extra year to do so," said Financial Secretary to the Treasury Lucy Frazer.
Austria's governing coalition has unveiled proposed reforms to tax carbon while lowering corporate tax rates to 23% by 2024, below the current rate of 25%. The carbon levy starts at €30 ($35) per ton in July 2022.
Spain's coalition government is looking to bring rent under control through a draft law that would combine tax incentives with other measures. Among other things, the bill would offer incentives for small landlords who lower rents while increasing property taxes for houses left empty.
Diego Andres Almeida and Cesar Molina of Almeida Guzman & Asociados analyze actions already taken by Ecuador's government in addition to future tax and economic reforms. Among other things, President Guillermo Lasso has announced the phase out of the 5% capital outflow tax.
Some large companies want the Financial Accounting Standards Board to pursue rule making related to the treatment of cryptocurrency assets and transactions involving environmental, social and governance factors. Some businesses indicated in comment letters that these kinds of transactions could account for a larger share of their future operations.
The Securities and Exchange Commission is working on procedures to force foreign companies, many Chinese, off US stock exchanges if regulators can't access the companies' audit records. The SEC expects to designate Chinese companies for delisting in 2022 if it can't access 2021 audit documents, a source says.
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