International Internet Magazine. Baltic States news & analytics
Monday, 27.06.2016, 08:46
Present agreement among EU member states shows common approach towards far-reaching new rules to eliminate the most common corporate tax avoidance practices. It follows the agreement among OECD countries on recommendations to limit tax base erosion and profit shifting (BEPS).
Keyword tags: Analytics, EU – Baltic States, Financial Services, Legislation, Markets and Companies, Taxation
The three Baltic countries have agreed on the distribution of VAT revenue from the construction work on the European standard-gauge railway Rail Baltica, Lithuania’s Transport Minister has said, adding that a respective agreement has already been signed and Lithuania will retain VAT revenue from work carried out in the country, informs LETA/BNS.
There are options for Latvia to increase tax revenue but difficult decisions will be required and major adjustments will have to be made to the tax system, the World Bank experts have concluded, informs LETA.
The Estonian Tax and Customs Board will on June 29 stop the issuance of personalized tax numbers on behalf of Finland and in the future Estonian residents about to start working at a construction site in Finland must apply for a tax number at the tax authority of Finland, reports LETA.
As at June 1, 2016, Latvia's 100 biggest tax dodgers owed EUR 299.76 million in total to the state budget, informs LETA, according to information available in the State Revenue Service’s database.
The World Bank (WB) has advised Latvia setting progressive tax rates on labor, so that they ranged between 19% on the lowest wages and 29% on the highest wages, Finance Minister Dana Reizniece-Ozola (Greens/Farmers) said in an interview with LNT commercial TV channel on Monday, cites LETA.
Although the economy of Latvia has been on a path of recovery for the past few years, the latest economic growth data actually show that economic growth is beginning to slow down. In the first quarter of 2016, GDP has increased by just 0.1% compared to the first quarter of 2015. Large companies still owe the country 1.4 billion euros in taxes.