The Australian government recently passed legislation originally introduced in June 2006 to abolish capital gains tax (CGT) for most foreign investors (refer to the July 2006 edition of this newsletter). To recap, from December 12, 2006, foreign investors are only to be subject to capital gains tax on gains arising on the disposal of "taxable Australian property."
Also in this issue:
- China
- New draft unified enterprise income tax law – announced
- Management of foreign-invested banks – rules issued
- Hong Kong
- Goods and service tax – not to be introduced
- India
- Payments for accessing computer mainframe – not taxable
- Korea
- Tax treatment of severance bonus – amended
- Rulings update
- New Zealand
- Controlled foreign companies (CFC)regime – discussion document released
- Portfolio investment entities regime – introduced
- Taxation of international investments – impact on individuals and family trusts
- Sri Lanka
- 2007 budget
- Thailand
- Foreign business certificate application – extended due date
- Rulings – update