Raskin Dollar

Ireland To End Regime Of Cheap Corporation Tax

Written By Unknown on Selasa, 14 Oktober 2014 | 14.47

By David Blevins, Ireland Correspondent

Ireland is poised to signal the end of a controversial scheme that has enabled multinational companies to drastically reduce the amount of tax they pay.

Sources claim the country's finance minister, Michael Noonan, will close the loophole known as "double Irish" when he delivers his country's budget in Dublin later.

Foreign firms have saved billions of euros by transferring income from an operating company in Ireland to another Irish-registered company in an off-shore tax haven.

Apple, Google, Microsoft and Facebook - all of which are thought to have benefited - will be granted a four year window to adapt to any change.

The European Commission has been investigating tax deals between Ireland and Apple and provisionally found that they were generous enough to amount to state aid.

Video: EU Gets Tough On Apple And Ireland

Brussels has urged the Irish Government to end the controversial tax policies or face a full-blown investigation which carries the risk of multi-million euro penalties.

Earlier this month, the chancellor, George Osborne, told the Conservative Party Conference that the UK would crack down on tax strategies deployed by technological companies.

He said: "Some of the biggest companies ... go to extraordinary lengths to pay little or no tax here. We will put a stop to it."

Video: Ireland Exiting Financial Rehab

The G20 has already commissioned the Organisation for Economic Cooperation and Development to produce a package of tax reforms to end such avoidance schemes.

But one of biggest names in Ireland - the U2 frontman, Bono - has defended the tax laws for "bringing our country the only prosperity we've known".

He said: "We are a tiny little country, we don't have scale, and our version of scale is to be innovative and to be clever.

Video: Tax Expert On EU Apple Accusations

"That's how we got these companies here ... We don't have natural resources, we have to be able to attract people," he told The Observer newspaper.

Ireland's finance minister is also expected to counter anger over proposed water charges and cut the top rate of income tax from 41% to 40%.

The budget is seen as critical, not just for the economic recovery, but in terms of the coalition government's fate in the next general election.

Video: Facebook Profits Triple

14.47 | 0 komentar | Read More

Twitter: Bank To Use Social Media To Send Cash

By Tom Cheshire, Technology Correspondent

One of the largest banks in France will today unveil plans to let its customers - and those of other banks - send money through Twitter.

Groupe BPCE will be the "first banking group to offer individuals a payment solution where they can transfer money with a simple Tweet", according to CEO Jean-Yves Forel.

It is understood that Twitter has not been involved in creating the service, which was built by Group BPCE's S-Money subsidiary, which has also built mobile and SMS payment systems.

But Olivier Gonzalez, CEO of Twitter France, said: "We warmly welcome this innovation developed by Groupe BPCE and the service it provides to Twitter users in France by integrating its S-Money service into a live, public, conversational dimension characteristic of Twitter."

Twitter is experimenting with its own payment system, known as Twitter Buy, which allows customers to buy products straight from the social media platform. Burberry has signed up.

Video: Twitter's Struggle To Fly High

Technology giants are becoming increasingly interested in online and mobile payments.

Facebook is said to be working on its own payments system, operated through its Messenger app.

And this week Apple Pay is expected to launch, letting users pay for goods and services online and in the physical world using their phone.

In the UK, mobile operator EE has been operating its Cash On Tap app - which works in a similar way to Apple Pay, using Near Field Communication (NFC) for payments including the London Underground - for some months.

Video: Twitter: Tool For Good Or Evil?

Near Field Communication is a form of short-range wireless communication that allows electronic devices, like debit cards or mobile phones, to talk to other computers or networks.

In April, nine banks and building societies adopted Paym, which lets users send money using just a phone number.

Group BPCE has yet to reveal the details, but the service will likely require an extra layer of identification for security - similar to sending money by SMS or on a smartphone app.

14.47 | 0 komentar | Read More

Over-55s To Use Pension Pots Like Bank Accounts

People reaching the age of 55 are to be given more flexibility over what they can do with their pension pots as they approach retirement.

Chancellor George Osborne will announce today that the over-55s will be able to withdraw several lump sums instead of just one.

The move is part of an ongoing restructuring of pensions, which the government wants to move away from the traditional annuities-only system.

Some of the changes that will be in the Pension Tax Bill were announced in the Budget, but the Chancellor is now unveiling more proposals.

From April individuals approaching retirement and pensioners will be able to take a series of lump sums, rather than being forced to withdraw all their money in one go.

Video: Expert On Pension Scheme Charges

The changes raise the prospect that pensioners could fund their retirement by using their pension pots almost as bank accounts or by investing in other assets like property or shares.

Until now, people who retired were only able to take 25% of their pension as a tax free lump sum in cash in one go. The rest had to be spent on a product like an annuity.

Now, pensioners will be able to take multiple lump sums, with a quarter of each withdrawal tax free.

The remaining 75% of each withdrawal will be taxed at whatever rate they are required to pay based on their annual income.

Video: Pensions: 'We Trust People'

The government is also planning to do away with the taxation of any pension contributions that have been unused and a person wants to pass on to their relatives.

Previously any inheritance of unallocated pension funds was taxed at 55%.

Mr Osborne said: "People who have worked hard and saved all their lives should be free to choose what they do with their money, and that freedom is central to our long term economic plan.

"From next year they'll be able to access as much or as little of their defined contribution pension as they want and pass on their hard-earned pensions to their families tax free.

Video: What The Budget Means For Savers

"For some people an annuity will be the right choice whereas others might want to take their whole tax free lump sum and convert the rest to drawdown.

"We've extended the choices even further by offering people the option of taking a number of smaller lump sums, instead of one single big lump sum."

Pensions campaigner Ros Altmann said: "The Government's changes have the potential to help millions of pension savers make better use of their pension funds.

"Being free to access their money freely as they need to, rather than being forced to buy particular products will be very popular."

Video: 'Pensions Reform - Not Enough'

The Government announced earlier this year that around 320,000 people would get the freedom to access pension pots flexibly without suffering punitive tax rates.

14.47 | 0 komentar | Read More

Road Hauliers In Christmas Deliveries Warning

Written By Unknown on Senin, 13 Oktober 2014 | 14.47

By Lisa Dowd, Midlands Correspondent

Hauliers are warning that a national shortage of lorry drivers could hit deliveries to shops and stores in the run-up to Christmas.

They say the cost of obtaining a licence and strict EU rules are putting off many would-be drivers.

"What we're concerned about is that as things start to ramp up around Christmas... there just simply won't be enough drivers available to make all the deliveries that are needed," said Natalie Chapman of the Freight Transport Association.

According to the organisation, 40% of lorry drivers are 50 or over, while just 1% are under the age of 25.

Chris Stevenson, 24, from Bloxwich, told Sky News he is desperate to become a lorry driver.

"It's the freedom of the job really. Seeing a bit of the country, maybe seeing a bit if the world, doing continental driving, you can get around a bit - (it) beats being stuck in one place all the while."

However, three unsuccessful attempts to get his HGV licence have cost him £2,500 so far.

John Heighway, transport manager at Devaneys Haulage, says such costs and the image of the profession have resulted in too few young people wanting to join it.

"It's quite desperate really. We could have enough work for an extra 10 vehicles.

"But we just don't have the drivers to cover it, so we just have to turn work down which is something we don't like doing."

That is great news for agency staff like Martins Svarcs from Latvia, who is working for the West Bromwich-based company.

"I'm working every day, five days a week, nine hours driving a day, so I'm happy."

But even temporary workers cannot fill all the vacant posts.

Hauliers say the problem is being made worse by EU rules which require experienced drivers to undertake further costly training - or face a large fine.

Roy Reynolds, 68, from Wolverhampton had been driving for 41 years and like many others decided to quit.

"Now regulations are coming in where you've got to go back to the classroom.

"I don't feel that I need to do that with the experience that I've gained over a number of years. It just seems pointless, so I decided to retire."

14.47 | 0 komentar | Read More

Osborne Puts Stake In Eurostar Up For Sale

Chancellor George Osborne has said the Government is seeking bidders for its 40% stake in the Eurostar rail service to help reduce Britain's public sector debt pile.

Potential buyers have until the end of the month to make expressions of interests.

The Government said it expects to reach "definitive agreements" in the first quarter of 2015.

The sale forms part of the Government's plan to sell £20bn of corporate and financial asset sales by 2020.

Mr Osborne said: "I am determined that we go on making the decisions to reform the British economy and tackle our debts. So we will proceed with the potential sale of the UK's shareholding in Eurostar today.

Video: Eurostar: The Opposition Responds

"Ensuring that we can deliver the best quality infrastructure for Britain and the best value for money for the taxpayer are key parts of our long term economic plan.

"As part of our aim to achieve £20bn from assets sales by 2020, the sale proceeds would make an important contribution to the task of reducing the public sector debt."

Labour has warned it could follow the Royal Mail privatisation as a "rushed and under valued" sell-off.

Mary Creagh, shadow transport secretary, said: "Eurostar is a national strategic asset that is set to grow and to return increased profits to the UK taxpayer with new routes to Geneva, Lyon, Marseille and Amsterdam.

"After the staggering incompetence of the Royal Mail sale fiasco, which lost taxpayers a billion pounds, people will worry that this is yet another rushed and undervalued sell-off.

"City adviser UBS made millions from Royal Mail and is advising on the Eurostar sale. Lord Myners is still conducting his review into government privatisations after Royal Mail, and ministers should await his report before any sale begins.

Video: Treasury Sec: Why Sell Eurostar?

"The National Audit Office should urgently conduct a value-for-money inquiry before this sale proceeds. We must ensure that taxpayers are not ripped off again by bungling ministers and poor financial advice from the City."

Rail, Maritime and Transport union general secretary Mick Cash said: "This is a gross act of betrayal of the British people by a right wing government hell bent on selling off the family silver regardless of the real cost."

Since services began in 1994, Eurostar has carried over 145 million passengers, with over 10 million in 2013 alone, while sustaining traffic growth every year for the last decade.

The Government put the stake up for sale last December as part of a plan to privatise state assets.

The French state train company SNCF owns 55% of Eurostar and Belgium's SNCB holds 5%.

14.47 | 0 komentar | Read More

FTSE 100 Directors' Earnings Up 21% In A Year

A steep rise in long-term incentives meant directors at FTSE 100 companies earned 21% more in the last financial year, a report has found.

The study by employment research specialists Incomes Data Services (IDS) suggests average annual earnings for directors was £2.43m, with chief executives picking up £3.34m.

IDS said earnings pegged to long-term incentive plans, which include share options, rose by 44% and bonuses were up 14% in 2013/14.

Basic salaries gained only 2.5% over the period.

The figures highlight attempts, in the wake of the financial crisis, to end the potential for rewarding failure as share options are linked to long-term performance targets.

But they still contrast sharply with levels of pay across the UK's workforce, with official statistics showing a fall of 1.6% over the same 12 month period - with annual pay growth, including bonuses, most recently being measured at just 0.6%.

The report was released as hundreds of thousands of health workers went on strike in protest at the Government's decision not to give them a 1% pay rise.

Editor of the IDS pay report, Steve Tatton, said: "FTSE 100 directors have seen their total earnings jump sharply in the last year, fuelled by a rise in the value of share-based awards.

"Bonus payments have also recovered strongly following a downturn last year.

"The pattern of pay growth highlights the complex make up of directors' remuneration.

"Salary rises may be modest but this can be more than made up for by the receipt of incentive payments.

"When such incentives pay out, they can pay out substantial sums, giving a significant boost to directors' earnings."

Chief executives at media, marketing and telecoms companies earned most in 2013/14, IDS said, with an average £6.98m.

CEOs at retail and distribution companies were found to be the lowest in the rankings with a median of £1.31m.

The report also showed the gap between chief executive pay and the rest of the workforce had widened significantly.

Heads of FTSE 100 companies earned 120 times more than full-time employees on average, against a 47% difference in 2000.

14.47 | 0 komentar | Read More

FTSE Slips To One-Year Low On Growth Fears

Written By Unknown on Minggu, 12 Oktober 2014 | 14.47

The FTSE has closed at its lowest level in nearly a year with a crisis of confidence over the global recovery.

It came as there were warnings about a triple-dip recession in the Eurozone at the IMF's annual conference in Washington.

Data from Europe's biggest economy, Germany, points towards a serious slowdown, with exports falling 5.8% in August - the biggest monthly fall in five years.

The FTSE 100 Index ended the week 91.9 points lower at 6340.

It leaves London's top 100 listed companies worth £140bn less than they were just over a month ago, and at their lowest ebb since last October.

Video: The Week's Big Business Stories

Worries about the global economy, particularly in Europe and Asia, have been accompanied by a wave of selling in energy and commodity stocks due to a sharp fall in the price of oil.

The Ukraine crisis and spread of the deadly ebola virus have also added to fears.

Wall Street saw its worst week since May 2012, with the Dow Jones industrial average down to 16,544.

Germany's Dax was down 2%, extending its losses for the week to 4%, and France's Cac 40 fell by more than 1% on Friday.

On Wednesday, the IMF downgraded global growth for this year and next, and lowered its assessments of Germany, France and Italy.

However, it kept its UK growth estimate for this year static at 2.7%.

That prompted Chancellor George Osborne to warn: "I'd be the first to say we're at a critical moment because the Eurozone risks slipping back into recession and crisis and that is already having an impact on the UK."

Around 50% of UK exports go to the EU.

14.47 | 0 komentar | Read More

Fears UK Will Be Hit By New Euro Recession

By Ed Conway, Economics Editor, in Washington

The euro crisis is back. But this time it's different.

That's the general gist of the discussions at the International Monetary Fund meetings in Washington this week.

For this time around the meetings - a key opportunity for policymakers to catch up on the state of the global economy - have coincided with a fresh bout of fear over the euro area.

This isn't the same kind of crisis the single currency faced a couple of years ago, when there were genuine worries that it might break up.

Instead, the concern is that it simply hasn't recovered fully from the recessions of recent years. Worse: it may soon slump back into another recession.

Why? In large part because of long-term problems in the continent: weak growth, poor demographics and unreformed regulatory systems.

The problem is that this time around there is even less clarity about what to do about it.

Video: IMF's Delicate Dancing Act

The French are determined to borrow and spend more to try to boost growth.

So are the Italians. The problem is that doing so will mean they will break the supposedly iron-clad fiscal rules laid down by eurocrats in the teeth of the crisis.

The Germans are determined to keep control of their public finances, but are being urged by most of their neighbours to spend a bit more and boost demand. Though no-one is courageous enough to tell them to their face.

That's the real reason why the IMF has spent most of the past week telling European countries to spend more on infrastructure.

You only have to watch our interview with IMF deputy managing director David Lipton to see how delicate a dancing act the Fund is having to perform here.

Meanwhile everyone, including George Osborne, has been looking towards the European Central Bank, indicating that they might be wise to consider going all in and doing full-scale quantitative easing.

Except that the ECB and central banking insiders insist they have already done enough - and that it's up to the politicians to do more.

Video: Economic Issues Linked To Conflict

In other words, it's all a bit of a mess. Europe is sliding towards a possible triple-dip recession and no-one seems to be able to decide what to do about it.

Now, to be fair, this episode doesn't have the same level of fear as the 2008 financial crisis or the subsequent euro malaise.

There are no rioters on the streets in Greece and Madrid.

But in another sense this is a far deeper problem: another recession in Europe could be contagious, knocking a serious chunk off Britain's growth prospects.

There is no fix - and no easy answer.

This comes as the world faces a whole barrage of other issues: ebola, which World Bank president Jim Yong Kim has focused on this week; the rise of IS, Islamic State, which IMF Middle East head Masood Ahmed warns has economic as well as social root causes.

All of which helps explain why markets are so jittery at the moment.