The South Korean government has announced that gains from investments in mutual funds and overseas securities will no longer be subject to double taxation from next year, as part of a strategy to strengthen the country's position as a regional asset management centre.
Under the bill, submitted by the Ministry of Finance and Economy (MOFE) to the National Assembly on Sunday, indirect investment abroad, or foreign investment made by indirect vehicles, such as mutual funds and private equity funds, will be able to claim deductions on the portion of capital gains on which they paid taxes to foreign tax authorities. It is expected that the bill will receive approval in November.
MOFE official Park Sang-yong stated: "Because of double taxation on gains from indirect investment abroad, local investment funds are reluctant to invest in overseas stocks and bonds subject to taxation from foreign tax authorities."
"The new bill aims to solve this problem and thus boost the domestic asset management industry by stimulating overseas investment," he added.
.
Network Tweets
Network BlogsContent
provided by
|
Archive | Resources | Partners | Site Map | Links | Newsletter Archive | Contact | RSS Feeds | About | Syndication | Advertising & Marketing | Recruitment | Terms & Conditions | Privacy & Cookies
Copyright © 2012 - All Rights Reserved - Tax-News.com
IMPORTANT NOTICE: Tax-News.com has taken reasonable care in sourcing and presenting the information contained on this site, but accepts no responsibility for any financial or other loss or damage that may result from its use. In particular, users of the site are advised to take appropriate professional advice before committing themselves to involvement in offshore jurisdictions, offshore trusts or offshore investments.
Write a comment