United States
- U.S. Tax Court announces cancellation of trial sessions for next two weeks
- KPMG report: Revised Form 8979 for designation or resignation of partnership representative
KPMG Week in Tax: October 13 – 17, 2025
Recent tax developments from around the globe for the week of October 13 – 17, 2025
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October 20, 2025
KPMG Week in Tax—published weekly to provide an overview of tax developments as reported in TaxNewsFlash—includes summaries of select tax-related news followed by a full list of reports (more information can be found at the links provided).
- France: The tax authorities released new guidance aligned with OECD GloBE Pillar Two rules, clarifying scope and territorial application. Additional guidance is forthcoming on safe harbor rules, effective tax rate (ETR) and top-up tax calculations, charging mechanisms, transitory rules, and filing/payment procedures. The tax authorities also released a notice on common Pillar Two reporting errors. Read TaxNewsFlash
- Ireland: Finance Act 2025 includes many of the 2025 budget measures announced in October 2024, including an expanded participation exemption for certain foreign dividends, enhanced R&D tax credits, an enhanced corporation tax deduction for qualifying apartment block expenditures, and an extension of the special assignee relief program through 2030. Read TaxNewsFlash
- Malaysia: The 2026 budget proposals aim to broaden the tax base and enhance governance, featuring extended exemptions for foreign-sourced income, increased stamp duty and capital allowances, new taxes on LLP profit distributions, expanded ESG and venture capital incentives, and the introduction of a carbon tax and digital tax stamp. Read TaxNewsFlash
Transfer Pricing
- Czech Republic: Interest on intra-group financing held non-deductible; expenses not deductible solely because included in related-party pricing arrangements (Supreme Administrative Court decisions)
- EU: EC Commissioner answers question on digital taxation in Europe; resolution on role of simple tax rules and tax fragmentation in EU competitiveness
- France: New guidance on Pillar Two rules; notice on common Pillar Two reporting errors
- Hong Kong: Letters to MNE groups potentially in scope of Pillar Two rules
- Hungary: Consultation on autumn tax package
- Malta: Election form for 15% “elective tax”
- OECD: Report to G20 Finance Ministers and Central Bank Governors, recent developments in international tax cooperation
- Romania: Amendments to rules for advance pricing agreements (APAs) and mutual agreement procedure (MAP)
- Switzerland: Treatment of residual tax for Pillar Two top-up tax purposes
FATCA / IGA / CRS
- EU: Amending protocols to CRS agreements with Andorra, Liechtenstein, Monaco, and San Marino; mandate to start negotiations with Norway
- Finland: Updated FATCA guidance; new rules under cryptoasset reporting framework (CARF)
- Germany: Deactivation of ELAN system and transition to new FATCA reporting systems
- Japan: FAQs on cryptoasset reporting framework (CARF), revised CRS
- South Africa: Draft regulations implementing cryptoasset reporting framework (CARF) and amending CRS
- UK: Updated International Exchange of Information manual
Trade & Customs
- Colombia: Requirements for authorized economic operator qualification
- China: Tax policies and list of taxable goods for Hainan free trade port
- United States: Changes to Section 301 action concerning China's targeting of maritime, logistics, shipbuilding sectors
Africa
- Tanzania: Tax measures in Finance Act 2025
Americas
- Argentina: Special refund procedure for overpaid PAIS tax on purchases of foreign currency
- Brazil: Exclusion of goods from ICMS-ST regime starting in 2026 (São Paulo)
- Colombia: Expanded list of energy projects eligible for tax benefits
- Colombia: Requirements for authorized economic operator qualification
- Colombia: Updated reporting obligations for digital platforms
- Costa Rica: Procedures for determining tax base, calculating taxes on tobacco products
- Dominica: Tax measures in 2025-2026 budget include extension of VAT exemptions on essential food items
- Saint Lucia: Extension of VAT waiver on building materials to May 2026
- Trinidad and Tobago: Tax measures in 2026 budget
Asia Pacific
- Australia: Omnibus state tax bill introduced to Parliament (Victoria)
- Australia: Superannuation tax updates
- Hong Kong: Letters to MNE groups potentially in scope of Pillar Two rules
- Malaysia: Direct and indirect tax proposals in 2026 budget
- Malaysia: High-value goods tax proposal withdrawn
- Pakistan: Digital presence proceeds tax withdrawn
- Taiwan: Non-recognition of losses for failure to submit proper financial statements for CFCs
- UAE: Free zone taxpayers allowed to operate on mainland (Dubai)
Europe
- Czech Republic: Interest on intra-group financing held non-deductible; expenses not deductible solely because included in related-party pricing arrangements (Supreme Administrative Court decisions)
- Denmark: Proposed expansion of preferential tax scheme for SMEs offering share-based incentives to employees
- EU: Amending protocols to CRS agreements with Andorra, Liechtenstein, Monaco, and San Marino; mandate to start negotiations with Norway
- EU: EC Commissioner answers question on digital taxation in Europe; resolution on role of simple tax rules and tax fragmentation in EU competitiveness
- EU: ECOFIN Council conclusions on EC recommendations regarding tax incentives to support Clean Industrial Deal
- EU: Report on deviations by member states from standard VAT rates
- France: New guidance on Pillar Two rules; notice on common Pillar Two reporting errors
- Germany: Draft legislation including various amendments to tax law
- Hungary: Consultation on autumn tax package
- Ireland: Direct and indirect tax measures in Finance Bill 2025
- Luxembourg: Amendments to bill on reforming property tax
- Malta: Election form for 15% “elective tax”
- Netherlands: Guidance on scope of VAT exemption for intermediation activities in shares and other securities transactions
- Norway: Direct and indirect tax measures in 2026 budget proposal
- Poland: Amendments to sugar and gaming tax, rules applying preferential depreciation, tax procedures
- Poland: Calculating deductible VAT for vehicle expenses; COVID-19 depreciation write-offs for self-produced assets; tanks not exclusively used for storage subject to real estate tax (Supreme Administrative Court decisions)
- Romania: Amendments to rules for advance pricing agreements (APAs) and mutual agreement procedure (MAP)
- Romania: New law repeals VAT exemption for NGOs, increases VAT and dividend tax rates, introduces supplementary tax on banks
- Serbia: Amendments to e-invoicing rulebook
- Spain: Valuation of moorings for real estate transfer tax purposes requires physical inspection (Balearic Islands Tribunal decision)
- Switzerland: Treatment of residual tax for Pillar Two top-up tax purposes
- UK: Contract termination fee after failed merger not taxable (First-tier Tribunal decision)
- UK: Guidance allowing cryptoasset exchange traded notes (cETNs) to be held in retirement savings accounts
Other publications
The items described above are also reported as editions of TaxNewsFlash: