Tag Archives: Tax

DIGI: our Romanian subsidiary RCS & RDS S.A. paid over LEI 1.2 billion for taxes and contributions to local and state budgets in 2017

BUCHAREST, Romania, 08-Jan-2019 — /EPR FINANCIAL NEWS/ — We would like to inform the market and our investors that, on 29 December 2018, an Emergency Government Ordinance no 114/2018 (the “GEO 114/2018”) establishing, amongst others, certain budgetary and tax measures was published in the Romanian Official Gazette. The GEO 114/2018 sets an increased monitoring tariff of 3% applied to the turnover of telecommunications operators meant to finance the activity of the National Authority for Management and Regulation in Communications of Romania (ANCOM). The prolongation of the exploitation period for the existing mobile communications licenses will be subject to the payment of 4% applied to the turnover generated from the mobile telephony operations in the year prior to the extension multiplied with the number of years for which the license validity period is prolonged. The further grant of the new mobile communications licenses will be subject to the payment of a percentage of either 2% or 4% applied to the turnover generated from the mobile telephony operations in the year prior to the grant date multiplied with the number of years corresponding to the validity period of the license. Also, the fines applicable for regulatory breaches in connection with the telecommunications sector in Romania were increased significantly.

The GEO 114/2018 additionally increased the level of the corporate tax applied to licenses owners operating energy or gas activities in Romania to 2% applied to the turnover generated from the respective energy or gas activity. In the public announcements made at the adoption of the GEO 114/2018, the Romanian Government’s representatives stated that the additional taxation would be caused by the “incorrect behaviour” of the telecommunications operators. We are of the opinion that these allegations have no legal, tax or economical basis, and that the decision to introduce these new taxes is ungrounded and discriminatory.

In connection with RCS & RDS S.A.’s activity, our Romanian subsidiary („Digi | RCS&RDS”), we express the following: Out of the turnover of approximately LEI 3.3 billion registered in 2017, Digi | RCS&RDS paid during the same year more than 1/3 (meaning over LEI 1.2 billion) for: taxes and contributions to the state budget, to the central authorities and to the local budgets; amounts due to state owned companies and other similar entities; and also it performed multiple payments to various public and private entities based on mandatory legal requirements. In connection with the income tax assessed by Digi | RCS&RDS, we must recall that, since 2007 until 2017, Digi | RCS&RDS invested more than EURO 2 billion for the development of a highly advanced fixed and mobile telecommunications network based on optical fibre. These investments were made to the benefit of millions of customers who enjoy today the best quality services at very advantageous prices. These investments performed by Digi | RCS&RDS (and which were subject of amortization) have implicitly determined the reduction of the taxable basis, in full compliance with the tax legislation.

In our view GEO 114/2018 is prejudicial to the development of the telecommunications and energy industries in Romania as it materially increases, without proper consultation and without any serious justification, the fiscal burden on businesses in these sectors, thus potentially restricting the ability to make further investments and affecting clients. We will be further evaluating the impact of GEO 114/2018 on our business and take those measures that are deemed necessary.

For details regarding the reports, please access the official websites designated of Digi: www.digi-communications.ro (Investor Relations Section).

SOURCE: EuropaWire

Research: 53% of HNWIs relocating or intending to relocate would expect online banking to be part of an international wealth management proposition

LUXEMBOURG, Nov-16-2017 — /EuropaWire/ — New research from The OneLife Company reveals that ensuring investments are tax efficient and managing international tax commitments are among the top financial priorities for internationally mobile HNWIs. In spite of this, fewer than 40% of relocators feel that their investments are as tax efficient as they need them to be.

The insight points to the growing urgency for wealth managers to tailor solutions and services to international clients. One in four European HNWIs surveyed has previously moved countries to live or work, with a further 13% intending to relocate for the first time in the future. The appetite for international living is rising further among the millennial segment, with the number of relocators and future relocators under the age of 35 rising to 43% and 20% respectively.

The research, carried out in conjunction with wealth insights firm Scorpio Partnership, considered the views of 770 HNWIs from Belgium, Denmark, Finland, France, Portugal, Spain, Sweden, Switzerland and the United Kingdom. The average wealth of participants was EUR2.76 million.

Responses revealed that 46% of individuals relocating or intending to relocate would expect tax advice to be part of an international wealth management proposition. Notably, 27% would also require life assurance to be included within the product suite, with this figure rising to 39% among those under 35.

“Younger generations of clients are more likely to relocate and are clearly more cognizant of the range of benefits – such as portability – which life assurance can provide,” commented Marc Stevens, Chief Executive Officer at OneLife.

The findings also point to the significance of technology for the relocator segment. Online banking was the top requirement in an international wealth management proposition, with 53% of relocators saying this was necessary to manage wealth.

This was affirmed by the fact that individuals who continued to work with their primary wealth manager following relocation referenced quality of tools as the primary reason to stay with the firm. By contrast, a quarter of individuals changing wealth management provider following relocation cited lack of suitable digital services as a motivator to pursue a different relationship.

SOURCE: EuropaWire

Stay On Top Of A Potential Tax Investigation As HMRC Increases Prosecutions

With new predicted figures the government has released, it appears the chances of you being on the receiving end of a tax investigation, and potentially a prosecution, are set to increase over the next few years. HMRC has set a new target for additional tax revenue of £18 billion over four years and for prosecutions of 1,000 a year – a 500% increase from the current 200 prosecutions a year.

This all comes at a time when the government is looking to rapidly reduce spending. As a result, it is likely they will be making these investigations and prosecutions without the same level of intelligence as before. These figures should not come as pretty reading for those who run a business or are self-employed.

An investigation can last for a long time and seriously get under your skin. Of course, you already have a busy and hectic lifestyle, and an investigation of this type can hamper your work and personal life. It is not a nice experience – as anybody who has gone through one before would tell you.

If you are at all worried about any of this, or if you have already been contacted by HMRC, do not worry. You should contact the experts at Rooney Tax Services, who can help you. They can represent you, deal with all the documents and paperwork, and pretty much take over the whole case.

Whether your problem is a local office investigation, a specialist investigation, a civil investigation of fraud or offshore disclosures under the new disclosure opportunity, Rooney Tax Services will do their utmost to assist you in an objective, clear and helpful manner.

Via EPR Network
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Consumer Price Index Rise Hits UK Savers Pockets

With bank rates predicted to stay low for the next 12 months, savers are in an increasingly tricky situation, according to personal finance website MoneyStand.co.uk.

As the Consumer Prices Index (CPI) is often greater than the savings account interest rates, MoneyStand.co.uk believes some individuals are actually poorer in real terms by keeping money in certain accounts. The UK website, which focuses on giving advice and information on personal finance, debt solutions, and IVA, has stated that simple and well thought out decisions can make all the difference to consumers in these instances. These are particularly testing times for those who live off the interest of their accumulated wealth to subsidise their pension.

Due to the low interest rates affecting most banks within the UK and the erosive affects of rising inflation, individuals with savings are feeling the brunt of the economic downturn. Even with substantial savings, British savers are missing out on a solid return on their investments once tax is taken into account.

With the Consumer Prices Index rising to 1.9 per cent, basic rate taxpayers need their banks to provide a minimum savings rate of 2.375 per cent before seeing any real return on their investments, and higher rate tax payers need a sizeable 3.166 per cent to see a return. In reality, currently only 9 out of 744 variable rate savings accounts available in the UK actually offer an interest rate higher than this. Compared with November, when 69 out of 744 accounts paid above this rate, experts argue that banks are profiteering at the expense of their customers, warning that the situation will now get even worse for the basic rate taxpayers.

Following a widespread media campaign for better deals for UK savers, the UK government has promised to start taking action against these low yield savings accounts. Despite these claims, Moneystand.co.uk suggests that UK individuals will soon have almost no reason to save.

Founder Matt Spencer said, “Due to the worsening interests rates offered by the banks, we have approached the stage where taxpayers are better off investing their money into gold bullion than they are with savings accounts.”

“Due to the Consumer Prices Index rising beyond economists’ expectations from 1.5 per cent to 1.9 per cent last month, basic rate taxpayers will also feel the knock on effects of the increase for some months to come. Economists have attributed this to amongst other things, rising fuel and energy costs.”

Personal Finance weblog MoneyStand.co.uk has been providing unbiased personal finance, IVA and debt related information since early 2008 specifically to help people through these testing financial times. The authors realise people are facing particularly pressing financial times and seek to alleviate this where possible by providing clear and easy to understand information.

“In times of recession individuals and families often overlook simple financial decisions that can make huge differences to their financial health.” Matt Spencer explained, “Our aim is to highlight and offer financial advice on these sensitive topics.”

For the latest financial news and advice on IVA, debt and insolvency visit our personal finance blog, http://www.moneystand.co.uk.

Via EPR Network
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Savvy Self-Employed Seek Little-Known Tax Benefits Provided By The Solo 401k

The Solo 401k is designed for the self-employed and offers powerful features not found in traditional 401k or IRA retirement plans. The Solo 401k offers unique tax benefits to those who open an account before the New Year.

The clock is ticking for taxpayers to secure their end-of-the year tax breaks and many Americans who qualify for a tax shelter are not utilizing it.

“That’s because many people are completely unaware of a special retirement vehicle that offers the self-employed a way to make significant contributions,” said financial expert, Jeff Nabers, CEO of Nabers Group.

The Solo 401k account offers powerful features that are not available to those who invest in traditional IRA or 401k accounts.

“One special feature of the Solo 401k is that it can be run by the accountholder. You don’t have to open it up at a Wall Street-focused firm. That means that you’re not stuck to ordering your investments off of a menu that offers only stocks, bonds, and mutual funds,” explains Nabers.

The volatile stock market and significant losses that many investors suffered have caused them to look for alternative options. Nabers says that’s where the Solo 401k can really be helpful. “Using the Solo 401k, people can invest in real estate, gold, foreign annuities, foreign currency, small businesses, and much more,” said Nabers. Even better, the Solo 401k allows accountholders to make large retirement contributions totaling more than $50,000.

About the Jeff Nabers, CEO
Jeff Nabers is the Chief Executive Officer of the Nabers Group and is a renowned consultant, speaker, and educator. Nabers is an expert in the fields of Self Directed wealth management and personal finance. Nabers teaches seminars on understanding money, free market capitalism, inflation, Austrian economic theory, real estate investing, direct possession of gold and silver, income-producing assets, small business startup funding, and Self Directed IRA and Solo 401k investing. Additionally, Nabers is the chairman of the IRA Association of America and authored the book 5 Steps To Freedom.

Via EPR Network
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