The Taxation of 'Digital Nomads' and the '3 W's': Between Tax Challenges and Heavenly Beaches

Work mobility is not something new, but it certainly received an important boost with the COVID-19 pandemic as many people began working remotely which reflected on their lifestyle. In this context, the objective of the present study is to analyse the challenges imposed by what is known as 'digital nomads' from the exclusive perspective of individual taxation. The first part aims to understand the first 'W', i.e., who the 'digital nomads' are and the factors that favour the choice for this type of work. Subsequently, it examines the impacts caused by the 'digital nomadism' in determining the tax residence (second 'W' – where) and presents the measures, albeit incipient and indistinguishable, adopted by some countries in relation to this phenomenon. The third section delves into the taxation of income obtained by 'digital nomads' through either an employment relationship or the provision of services (third 'W' – what). Based on the analysis of examples and the presentation of some alternatives, this study seeks to demonstrate the need to adapt the tax residence rules at both of the levels of domestic law and double tax treaties (tiebreaker rules). The rules on the taxation of income from employment and the provision of independent services also demand modifications that detach them from the strict need for a physical presence.

Theoretical Bases of Tax Control in Ukraine

Анотацш. Податковий контроль - meid емний елемент державного управлтня финансами, який посттно розвиваеться, як органтацтно, так i методично, реагуючи на виклики з якими стикаеться крата, серед таких: пандемия Covid-19, втськовий стан, розширення сфер використання криптовалюти, ускладнення мiжнародних транзакций. Вiдповiдно, змтюються i його тeорeтичнi засади, що обумовлюе актуальтсть подальших досл

REMOTE CONTROL: STATE TAXATION OF REMOTE EMPLOYEES

Remote work arrangements were becoming increasingly available in the years leading up to 2020. At the same time, several states enacted rules taxing remote workers who earn their income outside of the states' borders. During the COVID-19 pandemic, remote work arrangements increased exponentially and are now here to stay. Meanwhile, COVID-19 decimated state budgets, providing states with an incentive to attempt to aggressively tax income earned outside of state borders. However, these state tax schemes violate the Due Process and Commerce Clauses of the Constitution. This Comment examines the current landscape of remote work arrangements and state taxation of these arrangements. This Comment argues that the Supreme Court or Congress should step in to ensure state taxes are constitutionally apportioned.

THE IMPACT OF COVID-19 ON VAT TAX RATES IN EUROPEAN UNION COUNTRIES. EVIDENCE FROM BULGARIA

Bu makale, koronavirüs krizinden etkilenen Avrupa Birliǧi ülkelerinin vergi oranlarındaki deǧişikliklere dikkat çekmeyi amaçlamaktadır. Analizin gerçekleştirildiǧi dönem Mart 2020 - Aralık 2020'dir. 28 Üye Devletin her biri ayrı ayrı Íncelenmekte ve bireysel sektörlerde KDV vergi oranındaki deǧişiklikler tespit edilmektedir. Toplanan verilere ve belirli bir döneme ilişkin analizlere göre, ülkelerin bir yandan krizden en çok etkilenen ekonomik sektörleri desteklemeye, diǧer yandan ekonomik istikrarlarını nispeten iyi sınırlar içinde tutmaya çalıştıkları görülmektedir. KDV, tahsilatı Avrupa Birliǧi'nin her Üye Devletinin bütçesinde önemli bir gelir kalemi olan çok aşamalı bir vergidir. Düzenleyici yapısındaki veya vergi oranındaki herhangi bir deǧişiklik, sırasıyla tahsilat ve bütçe üzerindeki mali etkisi olmak üzere vergilendirme yöntemlerine yansır. Bununla birlikte, koronavirüs krizi ve dükkan, restoran, otel ve diǧer gelir kaynaklarının kilitlenmesi, Avrupa Birliǧi'nin tüm ülkelerinde vergi mükelleflerinin üzerindeki vergi yükünün hafifletilmesini gerektirdi. Muafiyet, belirli ürünler ve ekonomik faaliyetler için vergi oranında bir indirimdir.Alternate :This article aims to point out the changes in the tax rates of the European Union countries affected by the coronavirus crisis. The period during which the analysis is carried out is March 2020 - December 2020. Each of the 28 Member States is examined separately and changes in the VAT tax rate are identified in individual industries. Based on the collected data and their analysis for the specific period, it is noticed that the countries try to support the most affected economic sectors from the crisis on the one hand, and on the other hand to keep their economic stability within relatively good limits. VAT is a multi-stage tax, the collection of which is a major revenue item in the budget of each Member State of the European Union. Any change in its regulatory nature or tax rate reflects on the methods of taxation, respectively its collection and financial effect on the budget. However, the crisis with the coronavirus and the lockdown of shops, restaurants, hotels and other sources of income has necessitated easing the tax burden on taxpayers in all countries of the European Union. The relief is a reduction in the tax rate for certain products and economic activities.

Unilateral Digital Services Tax In Africa;Legislative Challenges And Opportunities

As the Base Erosion and Profit Shifting (BEPS) Project attains a significant milestone with 130 Members of the Organisation for Economic Co-operation and Development (OECD)/G20 Inclusive Framework agreeing on international tax rules that address digitalization of the economy (Pillar 2), and the UN globally approving its tax treaty on Article 12(B) on automated digital services, a handful of African countries have joined their international counterparts in deviating from the global approach by developing and imposing unilateral digital services tax (DST) policy and legislation. This article examines the rationale of short-term measures of a unilateral DST, particularly in the African context post the COVID-19 pandemic and critically examines legislative measures imposed by a number of African countries. The article then contrasts general and specific challenges (applicable to African countries) in imposing a unilateral DST with opportunities that digital taxation presents for the continent, particularly in developing policy and legislation, and in implementation by tax administrations.

Assessing the Corporate Use of Tax Relief Measures in Portugal in the Wake of the Pandemic: A Survey

The covid 19 pandemic has been affecting the social and economic system of every country. In the economic domain, policymakers have used an array of measures to alleviate the financial stress of individuals and firms. A broad strand of literature has discussed the wide range of tax relief measures and their possible effectiveness. In the corporate sector, one year after the outbreak of the pandemic, it is time to assess how firms took advantage of tax relief measures enacted by governments and to analyse which of those are more appropriate. The purpose of this article is therefore to connect the literature about fiscal policymaking with the effective use of covid 19 relief measures in the corporate sector. Based on a survey of 200 chartered accountants with comprehensive knowledge of Portuguese firms´ utilization of fiscal measures, the authors present an analysis related to the utilization of tax relief measures in three important areas: the VAT, corporate income tax, and individual income tax. The VAT payment deferral emerges as the most important area for tax relief considering its more immediate impact on cash flows and liquidity. Additionally, respondents were requested to offer their opinions about the economic sectors in which relief measures had a more intensive use.

Student Loan Planning in Response to COVID-19 and Recent Legislation

If you speak with any financial, tax, or legal professional, the consensus is usually the same--there has been an overwhelming amount of legislation passed in recent years. In 2017, there was the Tax Cuts and Jobs Act (TCJA), arguably the largest tax reform within the past two decades. Two years later, Congress passed the Setting Every Community Up for Retirement Enhancement Act (SECURE Act), bringing substantial changes to the employee benefit and retirement space. Then in 2020, the world came to a standstill due to the COVID-19 pandemic. To avoid a crippling and prolonged recession, the US Congress passed three stimulus packages. Altogether, each of the five bills impacts taxpayers in slightly different ways, but they share a high degree of correlation. This includes tax bracket and marginal rate adjustments, revised credits, stimulus checks, and employee benefit and retirement options. Yet despite the numerous legislative changes, there is one area that has gone relatively untouched: student loans.

The Reimagination of Conventional Retirement Savings Wisdom

On Mar 11, 2021, newly elected Pres Joe Biden signed into law the American Rescue Plan Act, a $1.9 trillion economic stimulus package designed to lift the US economy out of recession due to the COVID-19 pandemic. The act primarily centers on rebate checks, credits, subsidies, and exclusions, but that is not what has everyone talking. Instead, it is Biden's proposed tax plan--which primarily focuses on America's high-income and wealthy individuals. Conventional planning wisdom tells us two things. First, you should start saving early and often so you can enjoy the miracles of compound interest. Second, tax avoidance (not evasion) is perfectly acceptable and encouraged, and you should only pay what you owe. As such, the choice of retirement saving vehicles becomes a critical decision toward long-term financial success. Generally speaking, lower marginal taxpayers will benefit more from post-tax accounts such as Roth 401(k)s and IRAs because their marginal rate will likely be higher in future years.