MANAGING TAX DISPUTES IN THE ASIA-PACIFIC REGION
CD: How would you describe recent developments in corporate tax regulations across the Asia-Pacific region? Have the risks for companies increased in this area?
Kwee: As global political developments unfold and trade policies shift, we have witnessed significant developments in corporate tax regulations across the Asia-Pacific region. These have taken the form of amendments to tax laws and changes in the way that tax is administered, wrought by fundamental shifts in governmental attitudes towards tax. We are seeing measures that will increase tax revenues in furtherance of the efforts against tax evasion, through greater transparency coupled with international cooperation by governments across the region. Furthermore, more than 100 jurisdictions, including major financial centres in the Asia-Pacific region, have endorsed the Common Reporting Standards (CRS) and will apply the Automatic Exchange of Financial Account Information (AEOI) framework from 2018. It is therefore clear that the tax environment has changed and companies need to change their mindsets in tandem and need to manage effectively the tax environment and their own tax affairs across borders.
Jul-Sep 2018 issue