Expats barred from re-entry. The attorney general will determine whether a tax-avoidance motive existed. The federal court recently held that frequent flyer points earned in work-related travel are not taxable to the employee because they cannot be converted into money, in keeping with the UK decision in Tennant v. Smith .
Some new rules apply to non-residents.
Shares received on the incorporation of a Belgian branch need not be used for professional activities in Belgium for a rollover to apply on the incorporation. A Belgian branch of a foreign company that receives dividends qualifying for the participation exemption through a Belgian bank, for example, can now credit the tax withheld against corporate taxes. A Belgian branch no longer needs to withhold on a dividend received directly from a foreign company. The corporate tax rate for non-residents is reduced to the resident rate, from 44.29 percent to 40.17 percent, for the 1996 and following tax years and for earlier years if an appeal is in process or may still be filed. Chile A bill to amend the tax legislation proposes new reporting requirements for deductions on expenses incurred abroad.