Asia Tax Bulletin – Autumn 2023
As we entered the last quarter of 2023, before you is tax news about the third quarter of the year. As in the previous editions, the news covers a variety of topics depending on the jurisdiction you are interested in.
A common theme this time round is the adoption by many Asian countries of the OECD’s Pillar 2 measures (a global minimum effective corporate tax rate of 15% for large MNCs) and announcements of the introduction of a Qualifying Domestic Minimum Top Up Tax.
Furthermore, pursuant to the EU’s Code of Conduct in tax matters, Hong Kong, Singapore and Malaysia are changing their domestic taxation rules applicable to gains derived from the sale of offshore assets (in the case of Malaysia: the sale of shares) with effect from 1 January 2024. This will force international groups to reconsider the tax efficiency of their existing holding structures. Some may want to increase the economic substance of the holding company, others may want to move their holding activities to a different location.
Learn more in this edition.