Wednesday , September 18, 2019 |   21:58:08 IST
INTL TAXATION INTL MISC TP LIBRARY VISA BIPA NRI
About Us Contact Us Newsletters
 
NEWS FLASH
 
TP - No appeal against ITAT order warrants interference by jurisdictional High Court, if decision was taken by following observations laid down by such High Court which is settled: HC (See 'Breaking News') TP - Once certain matter decided by Tribunal stands concluded by decision of jurisdictional High Court, then it forms binding precedent for successive years: HC (See 'Breaking News') TP - If taxpayer has not filed addendum to transfer pricing agreement before TPO, it is not possible for such officer to pass valid order of assessment: ITAT (See 'Breaking News') TP - Differences in business module and fluctuating margins calls for exclusion of such entity for purposes of comparison: ITAT (See 'Breaking News') TP - Transfer pricing adjustment in respect of international transaction merits to be restricted to MAP resolution agreed between parties: ITAT (See 'Breaking News') I-T - There is no requirement to deduct tax at source in case of reimbursement of expenses: ITAT (See 'Breaking News') GAAR - CBDT amends Rule 10UC in relation to application to be made in Form 3CEIA to approving panel TP - Issue already concluded in previous years by decision of Coordinate Bench, merits to be follwed in absence of any distinction in facts and/or law in subsequent years: ITAT (See 'Breaking News') I-T - Payments made overseas for acquiring 'off shelf software' is not in realm of royalty: ITAT (See 'Breaking News') TP - Company engaged in providing high-end services involving specialized knowledge & domain expertise, cannot be compared to routine BPO service provider: ITAT (See 'Breaking News') I-T - No interest u/s 234B can be levied where payment to non-resident payee is subject to tax deduction at source: ITAT (See 'Breaking News') I-T - Additional evidences which are germane to determination of characterization of payments made overseas, merits consideration before attaching withholding tax liability on same: ITAT (See 'Breaking News') DTAA - Payment made in respect of standard telecom services which does not comprises of any trademark or scientific work, cannot be taxed as royalty: ITAT (See 'Breaking News') DTAA - Income arising from sale of goods on principle to principle basis completed outside India, cannot be taxed in India: 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 LIBRARY VISA BIPA NRI TII
  • Circulars (I-T Act, 1922)
  • DTAAs
  • TIEAs
  • Limited Treaties
  • Other Treaties
  • Notifications
  • Circulars
  • Instructions
  • Administrative Orders
  • Relevant Portion of I-T Rules,1962
  • DRP Panel
  • I-T Act, 1961
  • GAAR
  • MLI
  • Relevant Portion of I-T Act,1922
  • Draft Guidelines
  • Committee Reports
  • FATCA
  • Intl-Taxation
  • Finance Acts
  • Manual on EoI
  • DTC Bill
  • UN Model
  • Miscellaneous
  • OECD Conventions
  • Cost Inflation Index
  • Union Budget
  • Information Security Guidelines
  • Draft Notifications
  • Relevant Sections of Act
  • Instructions
  • Circulars
  • Notifications
  • Forms
  • TP Rules
  • APA Annual Report
  • APA Rules
  • APA FAQ
  • UN Manual on TP
  • Safe Harbour Rules
  • US Transfer Pricing
  • Black Money Act
  • PMLA Notification
  • PMLA Instruction
  • PMLA Bill
  • FM Budget Speeches
  • Multimodal Transportation
  • Vienna Convention
  • EXIM Bank LoC
  • Manufacturing Policy
  • FTDR Act, 1992
  • Intellectual Property
  • White Paper on Black Money
  • Posting Policy
  • PMLA Cases
  • Transfer of Property
  • MCA Circular
  • Book Review
  • Limitation Act
  • SSAs
  • EPFO
  • FAQs
  • Acts
  • Rules
  • Guidelines
  • Tourist Visa
  • Notifications
  • Types of Visa
  • Agreements
  • Model Text
  • Relevant Portion of I-T Act
  • I-T Rules, 1962
  • Circulars
  • MISC
  • Notification
  • About Us
  • Contact Us
  •  
     
    A Taxindiaonline Website. Copyright © 2010-2019 Taxindiainternational.com Pvt.Ltd. All rights reserved.