International Tax Newsletter: Americas

International Tax – Americas, June 2019

This e-newsletter gives you an overview of international tax developments being reported globally by KPMG member firms in the Americas Region between 1 June and 30 June 2019.

Argentina	BVI	Colombia	United States
Bermuda	Canada	Costa Rica

For a full summary of global tax developments, visit TaxNewsFlash- Global.

To contact the International Tax Team email internationaltax@kpmg.com.

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Argentina

Tax legislation approved and regulatory update

Tax incentives R&D

June 2019

Legislation expanding a tax incentive regime has been approved for domestic entities and professionals conducting certain activities relating to software, robotics, medical research and investigation, and R&D.

Bermuda

Tax legislation approved and regulatory update

EU "blacklist"

May 2019

Bermuda has been removed from the EU list of non-cooperative tax jurisdictions—the “blacklist”.

BVI

Proposed legislation

Economic substance

June 2019

The tax authority of the British Virgin Islands is expected to issue a draft “economic substance code” (rules or regulations).

Canada

Tax legislation approved and regulatory update	Budget	3 June 2019	Manitoba's budget implementation bill received Royal Assent. Read more
Tax legislation approved and regulatory update	Budget	6 June 2019	The 2019 Ontario budget bill received Royal Assent and has been enacted. Read more
Tax legislation approved and regulatory update	Budget	14 June 2019	New Brunswick's budget implementation bill received Royal Assent. Read more
Tax legislation approved and regulatory update	Corporate Income tax	June 2019	Corporate income tax measures as included in three federal bills are deemed to be substantially enacted. Read more
Tax legislation approved and regulatory update	Tax compliance/Reporting requirements	June 2019	Legislation in British Columbia includes provisions that largely mirror the federal corporate “significant control” reporting requirements. The bill received Royal Assent. Read more
Administrative and case law	WHT	5 June 2019	The Advocate General of the CJEU issued an opinion in a case concerning the compatibility with EU law of the German withholding tax on dividends paid to a Canadian pension program or scheme. The case is: College Pension Plan of British Columbia. Read more
Other	Stock options	June 2019	Many private companies offer stock options to employees as part of a plan to attract and retain key employees. Read more

Colombia

Tax legislation approved and regulatory update

Tax compliance

2019

Certain taxpayers (both individuals and legal entities) have reporting obligations for the 2018 tax year concerning transactions with third parties (including clients).

Costa Rica

Tax legislation approved and regulatory update

VAT

30 June 2020

The tax administration has granted a general exemption from VAT until 30 June 2020 for certain construction-related services.

Tax legislation approved and regulatory update

VAT

11 June 2019

Regulations concerning VAT were published as an executive decree in the official gazette.

Tax legislation approved and regulatory update

VAT

June 2019

The tax authority issued guidance concerning the registration process for those involved in exporting, marketing, distributing, and producing food, as well as the procedure of applying for reduced or exempted VAT.