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March 2007 Issue

Bulletin

SEPARATE TAXATION AT SOURCE: AN APPROPRIATE WAY TO TAX NEW FINANCIAL PRODUCTS?

In recent years, many commentators have sug-gested that in order to provide tax incentives to promote the development of the overall economy, or of specific industries, the government should tax certain forms of income separately from other income, with income tax being withheld at source at reduced tax rates, in place of the usual post-hoc system of consolidated tax assessment based on a final tax return. Accordingly, some s ... More

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