This Perspective takes a look back at tax developments in Canada in 2011 and offers a look forward to possible Canadian tax developments in 2012.
CANADIAN TAX REVIEW AND OUTLOOK
Corporate taxpayers in Canada continue to operate in an environment of declining tax rates, with the federal income tax rate falling from 16.5% in 2011 to 15% in 2012 and some provincial income tax rates expected to decrease in 2012 and beyond. For example, the Ontario […]
On 17 November, the Second Chamber of Dutch Parliament adopted the 2012 Tax Bill. The Tax Bill contains the following elements that are of particular relevance to foreign investors and other parties involved in M&A and other investments activities in the Netherlands:
The deductibility of interest on acquisition debt, including debt owed to third parties, attracted to acquire a Dutch target company that will be included in a consolidated tax group (fiscal unity) with a Dutch […]
From 2012, an even more generous tax regime will apply to capital gains from IPs and participations.
The new rules also open up interesting tax planning opportunities.
Capital gains from certain IPs will qualify for a full tax exemption where the tax authority is notified following the IP’s acquisition and the IP is held for at least a year thereafter. However, this will mean that capital losses are not deductible.
IPs will also qualify for roll-over relief, […]