Tuesday , December 2, 2025 |   00:54:19 IST
INTL TAXATION INTL MISC TP FDI LIBRARY VISA BIPA NRI
About Us Contact Us Newsletters
 
NEWS FLASH
 
DTAA - Payments received by non-resident assessee for licensing standard software & connected incidental services to Indian customer is not royalty, taxable in India u/s 9(1)(vi) or Article 12 of India-Ireland DTAA: ITAT (See Breaking News) TP - Working capital adjustments are attempt to arrive at adjusted comparables as basis of determining their profit level indicators or comparable uncontrolled prices: ITAT (See Breaking News) TP - If loan given to AE was non-performing asset, no adjustment can be made for notional interest if there is no possibility of recovering either interest or principal: ITAT (See Breaking News) I-T - Once certain transaction is accepted at arm's length by TPO in earlier & later AYs, under an agreement unchanged for more than a decade, then absence of TPO reference in current AY cannot prejudice assessee: ITAT (See Breaking News) I-T -Payments received for distribution, sale, or exhibition of cinematographic films fall within exclusion in Explanation 2(v) to section 9(1)(vi); is excluded from 'royalty' under Article 12 of India–USA DTAA: ITAT (See Breaking News) Shadow of Litigation on GAAR thus far (See 'TII Edit') Ageing population to strain European pension systems: OECD (See Brief) DTAA - Delivery Order Charges are directly connected to transportation of goods; fall within scope of Article 8 of India-Turkey DTAA - such charges not taxable in India, as are collected after transportation at point when goods handed over to consignee: ITAT (See Breaking News) African GDP may double if USD 155 bn pumped into infra sector: OECD (See Brief) INTL - CSR contributions, though not allowable as business expenditure u/s 37(1), qualify for deduction u/s 80G if the prescribed conditions are fulfilled: ITAT (See Breaking News) TP - Ttransaction between assessee and AE is in foreign currency with regard to receivables, then transaction would have to be looked upon by applying commercial principles with regard to international transactions - YES: ITAT (See Breaking News) TP - If CCDs issued are in nature of debt, then interest paid on same should be benchmarked as per applicable transfer pricing provision after applying most appropriate method considering availability of data: ITAT (See Breaking News) Illicit trade in tobacco results in revenue loss of over USD 47 billion: WHO (See Brief) TP - Capital financing between two AE should be benchmarked as loan transaction for noticeably brief period between two related parties where there is minimum risk: ITAT (See Breaking News) TP - Each international transaction must be separately evaluated u/s 92C; acceptance of benchmarking for basic market-research services does not automatically cover infrastructure service fees & reimbursements: ITAT (See Breaking News)
 
TII SEARCH
 
 
   
Home >> News Brief
 

IMF moots tax neutrality ahead of amendment to Chinese bankruptcy law
By TII News Service
Aug 28, 2019 , Washington DC

    
THE International Monetary Fund recently released a research paper calling for tax neutral treatment in China's Enterprise Bankruptcy Law (EBL). Enacted in 2007, EBL is expected to be amended with the Government forming a committee in June 2019 to draft the amendments to EBL. The Paper is titled Selected Issues paper on the People’s Republic of China and urged that a tax neutral treatment for insolvency and debt restructuring in the law would contribute to a more efficient restructuring process.

It also mentions that along with reforming the law, enhancing the capacity of the judiciary to handle insolvency cases is needed. An effective application of the amended law will also help prevent unwarranted interventions in bankruptcy proceedings that could prevent the start of eligible cases. As per the paper, released on August 23, 2019, EBL generally follows best international practices but is “very concise with many gaps, leaving it subject to uneven interpretation and implementation”. As a result, EBL does not provide adequate guidelines for many complex problems in insolvency, a growing problem given China’s deadline to resolve “zombies” by 2020. Hence the paper suggests that the amendments to law should focus on providing greater clarity and details on the scope of the law’s application; the conditions for bankruptcy and bankruptcy procedures.

The paper focused on China’s shrinking current account surplus due to multiple reasons. It noted that China’s current account surplus has declined significantly from its peak in 2008. While part of the sharp decline in 2018 is cyclical, the trend over the past decade is largely structural, driven by a widening of the services deficit and a moderation of the surplus in goods trade. Even at the bilateral level, the trend has been towards a greater balance, with declining goods trade surpluses with the US and the EU; and declining deficits with Japan, Korea and Taiwan, Province of China. With China’s growth model moving from exports towards consumption, the trend toward a smaller surplus or even a small deficit is likely to stay, with far reaching implications for China and the rest of the world, it adds.

 
 
INTL TAXATION INTL MISC TP FDI LIBRARY VISA BIPA NRI TII
  • DTAA
  • Circulars (I-T Act, 1922)
  • Limited Treaties
  • Other Treaties
  • TIEAs
  • Notifications
  • Circulars
  • Relevant Sections of I-T Rules,1962
  • Instructions
  • Administrative Orders
  • DRP Panel
  • I-T Act, 1961
  • MLI
  • Relevant Portion of I-T Act,1922
  • GAAR
  • MAP
  • OECD Conventions
  • Draft Guidelines
  • DTC Bill
  • Committee Reports
  • FATCA
  • Intl-Taxation
  • Finance Acts
  • Manual on EoI
  • UN Model Taxation
  • Miscellaneous
  • Cost Inflation Index
  • Union Budget
  • Information Security Guidelines
  • APA Annual Report
  • APA Rules
  • Miscellaneous
  • Relevant Sections of Act
  • Instructions
  • Circulars
  • Notifications
  • Draft Notifications
  • Forms
  • TP Rules
  • APA FAQ
  • UN Manual on TP
  • Safe Harbour Rules
  • US Transfer Pricing
  • FEMA Act
  • Exchange Manual
  • Fema Notifications
  • Master Circulars
  • Press Notes
  • Rules
  • FDI Circulars
  • RBI Circulars
  • Reports
  • FDI Approved
  • RBI Other Notifications
  • FIPB Review
  • FEO Act
  • INTELLECTUAL PROPERTY
  • CBR Act
  • NBFC Report
  • Black Money Act
  • PMLA Instruction
  • PMLA Bill
  • FM Budget Speeches
  • Multimodal Transportation
  • Vienna Convention
  • EXIM Bank LoC
  • Manufacturing Policy
  • FTDR Act, 1992
  • White Paper on Black Money
  • Posting Policy
  • PMLA Cases
  • Transfer of Property
  • MCA Circular
  • Limitation Act
  • Type of Visa
  • SSAs
  • EPFO
  • Acts
  • FAQs
  • Rules
  • Guidelines
  • Tourist Visa
  • Notifications
  • Arbitration
  • Model Text
  • Agreements
  • Relevant Portion of I-T Act
  • I-T Rules, 1962
  • Circulars
  • MISC
  • Notification
  • About Us
  • Contact Us
  •  
     
    A Taxindiaonline Website. Copyright © 2010-2025 | Privacy Policy | Taxindiainternational.com Pvt. Ltd. OPC All rights reserved.