Global updates – a quick glance
Argentina: The minimum and maximum basis for employee social security contributions increased to a monthly salary of ARS 35,603.99 and ARS 1,157,112.83 respectively from December 1, 2023.
Belgium:
- The government submitted a draft law to Parliament to make B2B e-invoicing mandatory, to be effective starting January 1, 2026.
- Parliament approved a new law requiring employers with more than 50 employees to appoint a “person of trust” to address psychological issues, effective from December 1, 2023.
Bulgaria:
- Revision in the thresholds for arrivals and dispatches under Intrastat system for 2024.
- Amended the VAT Act to increase the turnover threshold for VAT registration, from BGN 100,000 to BGN 166,000, effective from January 1, 2025.
Canada:
- Changes were to the Canadian Labor Code relating to the minimum notice period for individual termination and the requirement of providing a written statement of benefits to terminated employees, effective from February 1, 2024.
- Canada and Quebec’s social security rates and maximum bases were announced for 2024.
- A new administrative policy was implemented for determining remote employee’s province of employment for payroll purposes, effective from January 1, 2024.
- Federal and certain provincial income tax slabs increased for 2024.
- Reporting requirements were introduced for companies to report any forced labor incidences, effective from January 1, 2024.
China: China makes significant amendments to the Companies Law, effective starting July 1, 2024:
- Amended Company Law that mandates shareholders to fully pay subscribed capital within five years of the establishment of the company;
- Removed the ceiling on the maximum number of directors on boards; and
- Now allows small LLCs to appoint an audit committee instead of a board of supervisors.
Colombia: Colombia published a decree that provides the final regulations for the Significant Economic Presence (“SEP”) provisions, effective from January 1, 2024.
CostaRica:
- Published tax rates and slabs for the tax year 2024.
- Enacted tax reforms to achieve exclusion from the EU’s list of non-cooperative jurisdictions.
Cyprus:
- Introduced a reduced VAT rate of 3% for selected goods and services and added new goods to a 0% VAT rate, effective from July 21, 2023.
- The maximum insurable earnings for social insurance contributions increased from EUR 60,060 to EUR 62,868, effective from January 1, 2024.
- Implemented a new law for remote working, effective December 1, 2023.
CzechRepublic:
- Increased parental allowance, effective from January 1, 2024.
- Published the budget for the year 2024 with significant changes including an increase in corporate tax rates and consolidation of reduced VAT rates into a single rate.
Denmark: A global minimum tax was introduced through the Minimum Taxation Act, effective from December 31, 2023.
Finland: The 2024 budget introduced a revision in the tax rates and income limits for different income levels and increased the amount of different deductions allowed.
France:
- The Supreme Court overruled an earlier ruling warranting significant changes to paid leave entitlements for employees.
- Parliament approved new timelines for e-invoicing implementation.
- Legislation was passed to obligate small and mid-size businesses to implement a “Profit Sharing Scheme” effective from December 1, 2023.
- The Finance Act of 2024 was published on December 30, 2023, with significant changes, including lowering the threshold for transfer pricing documentation and stringent sanctions for non-compliance of TP documentation requirements.
Germany:
- Extended thetimeline for mandatory e-invoicing of B2B transactions until January 1, 2027.
- Changed the maximum income bases and rates for social security contributions for 2024.
- Implemented new rules for working parents who need to take care of a sick child, effective from January 1, 2024.
- Implemented a new global minimum tax, effective from January 1, 2024.
Greece: Made significant amendments to the Greek Labor Law in line with the EU directive on ‘Transparent and predictable working conditions’ effective from September 26, 2023.
Hungary: Implemented a new global minimum tax, effective from January 1, 2024.
India:
- The Finance Ministry clarified the Goods and Services Tax (“GST”) and its applicability on corporate guarantees between related entities; 18% GST is applicable on actual consideration or 1% of the value of the guarantee, whichever is higher.
- The Ministry of Corporate Affairs amended existing company rules for:
- the mandatory appointment of a designated person for significant beneficial owner compliance.
- the mandatory dematerialization of securities of non-small private companies.
- The Ministry of Corporate Affairs introduced new regulations requiring the identification of significant beneficial owners of LLPs.
- The Ministry of Corporate Affairs amended LLP rules to mandate that maintaining partners’ register from the date of incorporation and disclose beneficial interest in LLP contributions.
Ireland:
- Introduced five days of paid leave for domestic violence, effective from November 27, 2023.
- Introduced Enhanced Reporting Requirements (“ERR”) for employers in relation to non-taxable, reportable benefits provided to employees, effective from January 1, 2024.
Italy:
- Mandated E-Invoicing for Micro-Businesses, effective from January 1, 2024.
- Published the 2024 budget with significant amendments, including changes to personal income tax; implementing global minimum tax; revised corporate residency rules; and announced social security contribution relief.
- In the 2024 budget, significant amendments included an increase in the monthly tax exemption threshold for residents; an extension of tax incentives for investment projects, and more.
- Thresholds for Intrastat returns increased from January 1, 2024.
Malaysia:
- Parliament approved Finance (No.2) Bill for 2024, introduced capital gains tax, and submitted Global Minimum Tax proposals.
- The Companies Commission of Malaysia (“CCM”) issued a new Code of Ethics for company directors and company secretary effective from January 1, 2024.
Netherlands:
- Parliament approved the Tax Plan for 2024; with significant changes including a revision in personal income tax slabs and rates applicable to Box 1 income, plus amendments to 30% ruling regime for expatriate employees.
- The revised social security contribution rates were announced for 2024.
- The upper house of Parliament approved the bill for implementing public Country-by-Country (“CbC”) reporting.
Serbia: Parliament amended the income-tax and social security contribution law, effective from January 1, 2024. The non-taxable salary limit increased from RSD 21,712 to RSD 25,000 and the minimum and maximum monthly contribution base for social security contributions was revised.
Sweden:
- Implemented a Global Minimum Tax effective from January 1, 2024.
- In the 2024 budget, significant amendments included an increase in the VAT turnover threshold limit and a reduced excise tax on petrol and diesel.
Switzerland:
- Increased the Value Added Tax (“VAT”) rates, effective from January 1, 2024.
- Implemented a global minimum tax, effective from January 1, 2024.
Taiwan: Amendments to the acts dealing with sexual harassment, effective from March 8, 2024.
United Kingdom:
- In the Autumn Finance Bill, 2023 published on November 27, 2023, Autumn Statement proposal includes revisions for R&D tax relief, capital allowance; and a reduction of employee national insurance contributions rates from 12% to 10%.
- The government proposed an amendment to simplify the Transfer of Undertakings (Protection of Employment) Regulations (“TUPE”).
- The Employment Relations (Flexible Working) Act 2023 (Flexible Working Act) will become effective starting July 2024, and will make significant changes to employees’ eligibility for flexible working arrangements.
- Scotland presented the Statement for the Scottish budget to revise the personal income tax bands from year 2024-2025.
| Data Protection Fines Table | ||||
| Country | Authority Name | Fine imposed on | Reason for Fine Related to Data Protection Failure | Amount of Fine and Penalty |
| South Korea | The Personal Information Protection Commission (‘PIPC’) | Shinil Electronics, a South Korean company that manufactures and sells household appliances | A fine was imposed due to failure to: – implement adequate security measures; delete personal data where the retention period had expired. | Fine- KRW 10.8 million. Penalty- KRW 224 million |
| South Korea | The Personal Information Protection Commission (‘PIPC’) | Koda Limited is a South Korean company specializing in designing and manufacturing furniture. | A Fine was imposed due to failure to implement appropriate safety measures. | Fine- KRW 6.6 million. Penalty- KRW 202.59 million |
| South Korea | The Personal Information Protection Commission (‘PIPC’) | Speed Auction Inc. is a South Korean auction company. | A fine was imposed due to failure to implement appropriate safety measures. | Fine- KRW 7.8 million. Penalty-KRW 20.84 million |