Blog

Colombia Aims to Full Deployment of Clearance Model by 2019

In line with other countries in Latin America, Colombia opted to roll out e-invoicing on a voluntary basis, coupled with individual mandates to join the e-invoicing framework to specific taxpayers (often within strategic industry sectors or upon exceeding certain annual turnover threshold). At the end of 2015, Colombia issued Decree 2242 updating their e-invoicing framework. […]

Read More
Mexico’s Payment Receipt Requirement Interrupts SAP Workflows

As Mexico attempts to better track the money flowing through its economy – and the taxes owed on said transactions – it recently introduced a new process requiring companies to submit payment receipts. This new mandate, which goes into effect on December 1, 2017, will affect both IT and business teams, yet is not supported […]

Read More
New Deadline for Migration to CFDI 3.3 in Mexico

During 2016, Mexico started the process of updating the legally established e-invoicing format. More specifically, the xml version of the CFDI document is being updated from v3.2 to v3.3. The process had a deadline for full migration from CFDI v3.2 to CFDI v3.3 by 1 July this year. However, the Mexican Tax Administration has postponed […]

Read More
North Dakota’s Telecom Infrastructure Exemption to Expire

North Dakota’s sales and use tax exemption for tangible personal property used to construct or expand telecommunications service infrastructure is set to expire on June 30, 2017. This exemption covers cell towers, switching equipment, cable, and other infrastructure items used directly in delivering telecommunication services and owned by a telecommunications company. In order to receive […]

Read More
North Dakota Expands Exemption for Farm Machinery to Include Dairy Farm Equipment

Effective July 1, 2017, North Dakota will expand the definition of “Farm Machinery” to include machinery, equipment and materials used exclusively in a milking operation of a dairy farm. In North Dakota, sales of new farm machinery sold exclusively for agricultural purposes are taxed at a lower tax rate of 3% compared to the general […]

Read More
North Dakota Exempts Internet Access Services from Sales and Use Tax

Effective July 1, 2017, North Dakota will begin to provide an exemption from sales tax for sales of “internet access services.” Since 1998, the Internet Tax Freedom Act has prohibited federal, state and local governments from levying a tax on internet access however, seven states which previously had imposed taxes on internet access, including North Dakota, were […]

Read More
North Dakota Increases Prepaid E911 Fee

North Dakota recently enacted legislation which will increase the Prepaid Wireless Emergency 911 Fee from 2.0% to 2.5% effective July 1, 2017. Retailers are required to collect this fee on all sales of prepaid wireless services and minutes. Retailers must remit the collection of such fees to the State Tax Commissioner. Revenue generated from this increase […]

Read More
Monaco Releases Updated CRS Guidance Publication

Monaco recently published an updated publication on the implementation of the automatic exchange of information. This publication relates to how financial institutions must report under the OECD’s Common Reporting Standard (CRS). This most recent update includes a few updates to existing language surrounding trusts, specifically with regard to controlling persons. The settlor, trustee, protector, or beneficiary […]

Read More
Costa Rica Publishes Communication on FATCA Reporting

Costa Rica recently published a communique on FATCA reporting.  The document sets the reporting dates for 2016 information to be reporting in 2017.  Reporting dates will run from May 12 to August 11, 2017.  The document also provides links to the portals available for reporting, as well instructions for registration of reporters and, validation, testing, […]

Read More
Bahrain Publishes CRS Legislation

Bahrain, a late adopter jurisdiction, has recently posted legislation (CRS Directive) concerning the Common Reporting Standard.  The legislation, though brief, does provide some important information for Financial Institutions.  Of note, Bahrain will require CRS returns to be furnished by May 2, and that FIs submit nil reports.  In addition, there is a list of Participating Jurisdictions […]

Read More
Bermuda Releases CRS Guidance

Bermuda has published Guidance for Financial Institutions to follow with respect to the Common Reporting Standard.  Financial Institutions and their advisors should pay particular attention to the information as it covers many facets of the due diligence and reporting requirements.  In particular, the Guidance provides that the due date for this year’s reporting will be […]

Read More
Jersey Posts Reporting Guidance for CRS

Jersey has posted guidance for next month’s CRS reporting.  Jersey had previously released guidance in April for FATCA.  This publication contains information on single or multi-jurisdictional reporting, trustee and third party reporting, and nil returns, amongst others.  Jersey’s due date is June 30.  As such, this publication should be reviewed by Reporting Financial Institutions to […]

Read More
Spain Publishes New CRS and FATCA FAQs

The Spanish Tax Administration has published additional answers to Frequently Asked Questions regarding FATCA and CRS reporting. The questions address specific circumstances – under both FATCA and CRS – in which a Financial Institution is obligated to carry out blocking of a financial account for both entities and natural persons: A Financial Institution must block […]

Read More
Spain Revises FATCA XML Guidance

The Spanish Tax Administration has updated its XML guidance for submitting FATCA returns. There is only one significant revision of which filers should take note. It provides a web address for the consultation of presentations made in the preproduction test environment. In order to access this page, the filer will need to have a digital […]

Read More
IRS Reminds Financial Institutions to Renew FFI Agreements

The IRS released an updated FFI Agreement for Financial Institutions with FATCA obligations on December 30, 2016. Those FFIs whose agreements expired at the end of last year, and that wish to retain their GIINs, are required to renew their FFI Agreements. They can do so through the FATCA FFI Registration System. The FFIs will […]

Read More
Contract Signing for B2B Transaction Automation Vendors

Pushed by fierce competition and under constant pressure from corporations to enable savings and optimize business processes, B2B transaction automation vendors are constantly looking into new features and functions to enhance the added value of their solutions. Many vendors in this space are developing into ‘business networks’ which go far beyond the early days of […]

Read More
UK Amendment Expands HMRC Investigative Powers and Liability Risk

In a move that creates increased liability and risk for non-compliant institutions and individuals in the United Kingdom, HM Treasury recently published an Amendment to the International Tax Compliance Regulations. In summary, the Amendment grants HM Revenue and Customs (HMRC) additional power to police AEOI compliance and expands potential liability to both financial institutions and their […]

Read More
Colombia’s DIAN Provides E-Invoicing Update

Now that Colombia’s e-invoicing pilot program has concluded, the country’s tax administration (DIAN) is evaluating lessons learned and next steps prior to unveiling its official e-invoicing legislation. Recently, Sovos was invited to attend a meeting with the DIAN to discuss its plans going forward. Our primary takeaway from the meeting? Nothing is certain yet. What […]

Read More