Google, Apple, Inter-IKEA Group and McDonald's would welcome more clarity and certainty about their tax liabilities in the EU, but they are concerned about the administrative compliance costs and reluctant to see tax data being made public. So said their representatives at a public hearing, held by Parliament's Special Committee on Tax Rulings II on Tuesday, to elicit their views on recent and upcoming proposed legislation on corporate tax.
Transfer pricing officers made an incorrect calculation of the arm’s length price in ten high-value transactions, according to the report of the Comptroller and Auditor General of India.
In a guidance note issued to income tax officers, Central Board of Direct Taxes guided against manual picking of cases and underlined that that the cases be picked up for scrutiny only through computer-assisted selection process (CASS). Besides, the note suggested that a tax officer should refer cases to a transfer-pricing officer only in three defined circumstances and where there is income or potential income arising from international transactions.
EU countries will exchange information on the tax affairs of multinational companies under new rules backed by EU finance ministers aimed at stopping big companies avoiding paying their fair share into government coffers.
This briefing explains how the UK is working with other countries to change the international tax rules and ensure multinationals pay the right amount of Corporation Tax on their UK profits.