The Australian Government has introduced legislation to extend the reach of its Multinational Anti-Avoidance Law (MAAL) to cover a range of corporate structures.
The MAAL covers multinationals operating in Australia which have global revenues of more than AUD1bn (USD766.4m). The law is designed to prevent multinationals from avoiding Australian tax by using artificial or contrived arrangements to avoid having a taxable presence in the country. It requires companies that are deemed to have avoided tax to pay back double what they owe, plus interest.
The new legislation extends the MAAL to corporate structures that involve: foreign resident partners; or foreign trusts that temporarily have their central management and control in Australia.
The MAAL has been in place since January 1, 2016. To date, the Australian Taxation Office (ATO) has identified 38 large companies that have brought or are bringing their sales to Australian customers onshore in response to the MAAL. The ATO expects this to result in an additional AUD7bn in income being returned to the tax base each year.
Austria's Federal Council on April 5, 2018, approved the DTA with Japan.
A protocol updating the DTA between India and Kazakhstan entered into force on March 12, 2018, and was published in India's Official Gazette on April 12, 2018.
Finland is proposing to terminate its existing DTA with Portugal at the start of 2019, should Portugal fail to ratify a replacement DTA negotiated between the two states.
The Spanish Senate on April 11, 2018, approved a DTA with Finland.
The Czech Senate on April 4, 2018, approved a law to ratify the DTA being negotiated with Kosovo.
Singapore on March 13, 2018, announced plans to update the DTA with Bangladesh signed in 1979.
Cambodia and Vietnam on April 5, 2018, signed a DTA.
A DTA between India and Zambia was signed during a three-day visit Zambia ending April 12, 2018.
Kosovo on April 4, 2018, approved negotiations towards a DTA with Saudi Arabia.
The Assistance in Recovery clause in the DTA between Australia and France entered into force on April 1, 2018.
The Saudi Cabinet on April 3, 2018, approved a DTA with Hong Kong.
Bangladesh and Azerbaijan on April 6 agreed to speed up negotiations towards a DTA.
South Korea and Vietnam on March 25 agreed to work towards amending their DTA.
The Moroccan upper house of parliament on April 5 passed draft Law No. 22.18, endorsing a DTA signed with Bangladesh.
At a March 15 meeting, representatives from Hungary and Ecuador discussed engaging in talks towards the conclusion of a DTA, Hungary's Ministry of Finance reported on March 21, 2018.
On March 21, 2018, Nigeria completed its domestic ratification procedures in respect of the DTA signed with Singapore.
Kazakhstan's Senate on March 29, 2018, approved a law to ratify the DTA signed with Belarus.
During a meeting on March 29, 2018, representatives from Kenya and Mozambique agreed the two countries should agree a DTA.
Georgia and Saudi Arabia signed a DTA on March 14, 2018.
Turkmenistan and the United Arab Emirates signed a DTA Protocol on March 15, 2018.
India and Hong Kong signed a DTA on March 19, 2018.
France and Luxembourg signed a DTA on March 20, 2018.
The Dutch lower house of parliament on March 15, 2018, approved a DTA signed with Malawi.
Liechtenstein and the United States are newly engaged in negotiations towards a DTA.
Armenia and Denmark signed a DTA on March 14, 2018.