PresseKat - DGAP-News: Worldwide Tax Reforms Continue to Encourage a Return to Growth and Sustained Revenues

(firmenpresse) - PwC

10.11.2011 08:00
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LONDON, 2011-11-10 08:00 CET (GLOBE NEWSWIRE) --
Governments continue to reform their tax systems, according to a new report by
the World Bank, IFC, and PwC. In all, 123 out of 183 economies measured have
made significant regulatory changes since 2006 to ease tax burdens for small
and medium-sized firms, as governments seek to increase business registrations
and relieve the impact of the global economic downturn.

Launched today, Paying Taxes 2012 finds that 33 economies made it easier and
less costly to pay taxes from June 2010 through May 2011. The most common tax
reform was the increased use of online systems to facilitate tax compliance,
introduced in 23 economies. Electronic filing and payment reduces the amount of
paperwork, allows a more targeted and risk based approach to audit and
compliance, and can help eliminate corruption.

Paying Taxes 2012 measures all mandatory taxes and contributions that a
medium-sized firm must pay in a given year. Taxes and contributions measured
include the profit or corporate income tax, social contributions and labour
taxes paid by the employer, property taxes, property transfer taxes, dividend
tax, capital gains tax, financial transactions tax, waste collection taxes,
vehicle and road taxes, and other small taxes or fees.

The report found that the Total Tax Rate for small and medium-sized companies
has fallen by 8.5 percentage points since 2006, more than one point per year.
During that period, the time it takes to comply with business taxes declined by
more than a day a year (54 hours), and the number of payments required dropped
by five.

'The high number of reforms in tax administration shows that improving the tax
system for businesses is high on the agenda for governments,' said Augusto

Lopez Claros, Director, Global Indicators and Analysis, World Bank Group. 'If
they create a system that is easy to comply with, it is more likely that
businesses will operate in the formal economy and provide a more sustainable
source of revenue than debt or aid.'

Globally, the average Total Tax Rate for a small to medium-sized company is now
44.8 percent of its commercial profit. Complying with tax regulations takes an
average of 28.5 payments and a total of 277 hours.

'Governments have it in their control to develop tax systems that foster
business investment and make the private sector an engine for a return to
economic growth and prosperity,' said Andrew Packman, a tax partner at PwC UK.
'Reducing rates and making the compliance less burdensome helps companies focus
on making their business grow.'

About the World Bank Group

The World Bank Group is one of the world's largest sources of funding and
knowledge for developing countries. It comprises five closely associated
institutions: the International Bank for Reconstruction and Development (IBRD)
and the International Development Association (IDA), the International Finance
Corporation (IFC); the Multilateral Investment Guarantee Agency (MIGA); and the
International Centre for Settlement of Investment Disputes (ICSID). Each
institution plays a distinct role in the mission to fight poverty and improve
living standards for people in the developing world. For more information,
please visit www.worldbank.org, www.miga.org, and www.ifc.org.

About PwC

PwC firms help organisations and individuals create the value they're looking
for. We're a network of firms in 158 countries with close to 169,000 people who
are committed to delivering quality in assurance, tax and advisory services.
PwC refers to the PwC network and/or one or more of its member firms, each of
which is a separate legal entity. Please see www.pwc.com/structure for further
details. Tell us what matters to you and find out more by visiting us at
www.pwc.com.

For more information about Paying Taxes, visit www.pwc.com/payingtaxes.

The PwC logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=2684

CONTACT: In Washington, D.C.:
Nadine Ghannam, World Bank Group
Phone: +1 202 473 3011
E-mail: nsghannam(at)ifc.org

In New York:
Mike Ascolese, PwC
Tel: +1 646 471 8106
E-mail: mike.ascolese(at)us.pwc.com
News Source: NASDAQ OMX

10.11.2011 Dissemination of a Corporate News, transmitted by DGAP -
a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.

DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de

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Company: PwC

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