The Global Forum on Tax Transparency and Exchange of Information for Tax Purposes published the new peer review reports for 17 countries or jurisdictions.
The result of these reviews is that different countries are considered to be non-compliant with the standards on exchange of information:
As Marshall Islands and Federated States of Micronesia are already on the Belgian black list, their rating doesn’t change anything regarding the obligation to report payments made to those countries.
For Panama, Guatemala, Trinidad and Tobago their non-compliant rating means that payments made as from 4 November 2016 fall in the scope of the reporting obligation.
As a reminder, companies subject to Belgian corporate income tax and non-resident corporate income tax have to report payments totaling at least 100.000 EUR per financial year to beneficiaries established in countries considered as tax havens.
The tax havens are determined by two lists:
This list includes States which, according to the Global Forum on Tax Transparency and Exchange of Information of the OECD, do not effectively or substantially apply the OECD exchange of information standard. The presence of a State on the list at the moment of the payment is sufficient to require its reporting.
This list contains States without or with low taxation. The criteria used to constitute this list have been recently expanded.
Will be on the list state(s) outside the EEA:
For the moment the Belgian list included in art. 179 RD BITC has not been adapted to the new criteria.
© 2017 KPMG Tax and Legal Advisers, a Belgian Civil Cooperative Company with Limited Liability (burg. CVBA/SCRL civile) and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.