In the above PDF, Baker Tilly Poland kindly share some of the news surrounding the new VAT and income tax changes in Poland that anyone investing or living in this country needs to be aware of.
The following press-release by Ferenc Kölber, a partner in Baker Tilly Hungária, underscores our observation made recently in these columns that finally the profession is growing again in Central Europe. He writes:
Baker Tilly Hungária is pleased to announce recent successful collaboration with member firms. These included a number of payroll, accounting outsourcing, tax advisory and compliance services assignments.
As a result of these tenders, Baker Tilly Hungária reached a milestone of 1,000 people on outsourced payroll. A new payroll outsourcing service for a manufacturing entity of a large international client helped these figures. This client employs 300 staff in Hungary, generating approximately €28,000 in annual revenue for the firm. However, the firm is hoping to soon exceed this milestone with tenders for payroll of 140 and 1,400 staff also underway, the latter is for a client currently being served by Baker Tilly Czech Republic.
Ferenc Kolber of Baker Tilly Hungária also recently led a successful tender for the tax advisory and compliance service for Olajterv, an international oil and gas company, across 24 countries. The development of a strong offering resulted in this substantial win with Poland already transitioned with full scope accounting and payroll services together with tax advisory and work in Libya and Kazakhstan commencing.
Baker Tilly Hungária believes the success of these tenders resulted from the close working relationships and the quality of service delivered by member firms. This has created opportunities for referrals in other countries as well as the ability to participate in larger tenders for international clients.
- Tax change hits holiday homeowners (telegraph.co.uk)
- Baker Tilly: a brave new world of services (dealarchitect.typepad.com)
- Baker Tilly International Reports Revenue Growth of 3% to US$3.3bn (quoracy.com)
- Baker Tilly Slovakia Tax Alert February 2013 (quoracy.com)
- Fiscal cliff won’t stop businesses from hiring, Baker Tilly survey finds (bizjournals.com)
There’s a lot going on in all our region with taxes at the turn of the year. Below Baker Tilly Slovakia have been kind enough to share their update on some of the key issues undergoing change. As always on these pages, the updates provided are subject to the usual caveats and these are on the page on this site marked disclaimers.
Parliament has approved the governmental Amendment to the Income Tax Act effective from 1st January 2013. The most significant changes resulting from the amendment are as follows:
1. Personal income tax
Personal income will be taxed at two tax rates depending on the amount of the income of the tax payer. A tax base of up to 176,8 times the subsistence minimum (for the year 2013 it is the amount 34.401,75€) will be taxed at a 19% tax rate, while a tax base exceeding this amount will be taxed at a 25% tax rate.
The threshold for payment of advance tax has also been increased from 1.659,70€ to 2.500€.
2. Corporate income tax
From 1st January the corporate income tax rate has been increased from 19% to 23%. Following the change of tax rate, corporate income tax advances paid for periods from January 2013 should be re-calculated with the 23% tax rate.
3. Extension of tax return filing deadline
The deadline for filing tax returns will be extended only for taxpayers whose income includes income from a foreign source. The deadline will be extended by 3 calendar months on the basis of a written notification delivered to the tax authority before the usual deadline for filing tax returns.
For taxpayers whose tax period is a financial year starting in 2012 and ending in 2013, the tax base to be decreased by any tax losses will be distributed proportionally based on the number of months in the tax period up to 31.12.2012 (taxed at the 19% rate) and the number of months in the tax period after 31.12.2012 (taxed at the 23% rate).
4. Tax assignation by legal entities
A legal entity liable to pay corporate income tax will be able to assign 2% of paid tax to entitled beneficiaries (not-for-profit organizations, civil associations, etc.), provided that during the term for filing of the tax return such entity makes a donation equal to at least 0,5% of the tax paid. In other cases, the legal entities will only be able to assign 1,5% of any tax paid.
821 08 Bratislava
Tel: +421 250 203 302
Head of Accounting Department
Slovak Tax Advisor
821 08 Bratislava
Tel: +421 250 203 304
- TurboTax – A Global Look at Personal Income Taxes Interactive Infographic (turbotax.intuit.com)
- Meet Five CEOs Who Prove That Lower Corporate Taxes Don’t Equal More Hiring (thenation.com)
- Why more and more businesses are being taxed like people (washingtonpost.com)
- VAT: an introduction. (businesshelp.lloydstsbbusiness.com)
- TurboTax – Video: Social Security Tax – Who Is Exempt? (turbotax.intuit.com)
Dear Quoracy.com subscribers,
We continue our efforts in upgrading and enhancing our services to you, both in context and quality.
In this respect, please find in the below link Baker Tilly Klitou Tax Alert no. 2 per 2012, in English and Romanian language. The purpose of this Tax Alert is to inform you about the latest tax legislation changes that could have an impact on your company’s activity: changes that affect our Tax Code, any legislative changes that are announced by the Ministry of Finance and any other Romanian tax related developments.
Our tax experts are always at your disposal in answering any queries that may arise from this Tax Alert.
Tax Manager – Head of Tax Department
52, Splaiul Independentei,
(For Disclaimers to all republished alerts, see divider above)
- Romanian ex-PM gets prison time in corruption case (mysanantonio.com)
- Romanians protest against gold mine plan (reuters.com)
- Romanian PM calls for unity as thousands protest (seattletimes.nwsource.com)
- Why Romanians are angry? (thedevelopmentjournalist.com)