A round up of other news this week.
There have been wide reports in the media this week of an agreement between Presidents Trump and Macron in relation to the French Digital Services Tax (DST) suggesting the French government will forgo collecting any further tranches of the French DST during the remainder of 2020, pending a consensus position being reached at OECD level by the end of the year. Whether this will have any impact on the UK’s decision to press ahead with its own DST from April 2020 is currently unknown. Matthew Herrington, International Tax Partner at KPMG UK, is following developments on LinkedIn.
Derek Mackay, the Scottish Finance Secretary, has announced that the Scottish Draft Budget 2020/21 will be published on 6 February 2020. His letter to the Finance and Constitution Committee of the Scottish Parliament confirms that the Scottish Budget Bill will also be published on that date, and that subsequent Budget revisions (via subordinate legislation) may be made in light of any unexpected financial implications that the UK Budget has for Scotland.
The Scottish Government and Revenue Scotland, the body responsible for the collection and management of Scotland’s devolved taxes, have published Working together on tax. This sets out the basis on which the Government and tax authority work together to develop and maintain the devolved tax system, and supplements the detailed framework document concerning the governance, financing and operations of Revenue Scotland.
Greater emphasis is needed to maximise agglomeration benefits across the UK and the upcoming Budget offers a crucial opportunity to lift regional growth and should not be missed, warns a new KPMG report.
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