Shareworks Global Intelligence Newsletter September 2020

September 10, 2020 Shareworks Marketing

Icon of a globe with a network connecting countries together with the wording "Global Intelligence Newsletter" underneath.

Shareworks Global Intelligence newsletter provides an overview of recent changes affecting employee share plans globally. 

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We have made some exciting changes to our monthly Shareworks Global Intelligence newsletter. Starting with this month’s newsletter, you will receive updates for all countries, regardless of your subscription.This will help you stay ahead globally! You can easily skip to the countries you are currently subscribed to by using the spotlight icon below. 

We also want your feedback! To ensure we are continuously enhancing our products and solutions, to better help you access the information you need, we are planning to set up a few interviews with clients and our user experience (UX) team. If you would like to be a participant in our UX survey, please send us a note and we can coordinate a time that works for you. 

Please find below the Shareworks Global Intelligence overview of certain changes affecting employee share plans globally. This issue also highlights certain upcoming global filing and reporting requirements (for the parent company or local company). 

As always, please feel free to contact us if you need further assistance. 

 

Country Updates

Angola: Updated Income Tax Bands

Effective from September 1, 2020, the individual income tax rates and bands applicable to monthly employment income in Angola has been increased. There is a fixed portion of tax payable for each bands, as described below.

  • On income from AOA 1,000,001 up to 1,500,000, tax payable is a fixed portion of AOA 187,250 plus 21% on the excess of AOA 1,000,000
  • On income from AOA 1,500,001 up to 2,000,000, tax payable is a fixed portion of AOA 292,000 plus 22% on the excess of AOA 1,500,000
  • On income from AOA 2,000,001 up to 2,500,000, tax payable is a fixed portion of AOA 402,250 plus 23% on the excess of AOA 2,000,000
  • On income from AOA 2,500,001 up to 5,000,000, tax payable is a fixed portion of AOA 517,250 plus 24% on the excess of AOA 2,500,000
  • On income from AOA 5,000,001 up to 10,000,000, tax payable is a fixed portion of AOA 1,117,250 plus 24.5% on the excess of AOA 5,000,000
  • On income from AOA 10,000,001, tax payable is a fixed portion of AOA 2,342,250, plus 25% on the excess of AOA 10,000,000

This information has been provided by our collaborating law firm in Angola, AVM Advogados (contact: Antonio Vicente Marques at avm@avm-advogados.com)

 

Guernsey: Social Contribution Caps Updated for 2021

The social contribution threshold will increase effective from January 1, 2021, as detailed below.

 

Thresholds for 2020

Thresholds for 2021

Lower Earnings Limit (monthly, GBP)

624

641

Upper Earnings Limit (monthly, GBP)

12,480

12,805

The same thresholds are applicable for employee and employer contributions. The rate remain unchanged at 6.6% for both employees and employers.

This information has been provided by our collaborating law firm in Guernsey, Carey Olsen (contact: Natasha Kapp at natasha.kapp@careyolsen.com)

 

Myanmar: Tax Payment Timeline Extended

As per the 62/2020 Notification issued on June 10, 2020 by the Ministry of Planning, Finance and Industry, the deadline for remitting taxes withheld on employee earnings by the employer has been extended from 7 days to 15 days after deduction.

The change applies retrospectively from October 1, 2019.

This information has been provided by our collaborating law firm in Myanmar, VDB Loi (contact: Ngwe Lin Myat Chit at ngwe.lin@vdb-loi.com)

 

Zimbabwe: Changes to Employment Income Tax Table

With effect from August 1, 2020, the following annual tax table is applicable on employment income earned in Zimbabwean dollars. The tax rates remain unchanged.

Monthly income (ZWL)

Tax rate

0 - 25,000

0%

25,001 - 75,000

20%

75,001 - 150,000

25%

150,001 - 300,000

30% 

300,001 - 500,000

35%

500,001 - up

40%

This information has been provided by our collaborating law firm in Zimbabwe, Atherstone & Cook (contact: Takura Gumbo at tgumbo@praetor.co.zw)

 

Upcoming Filing and Reporting

India: Annual Report

September 30, 2020
Affects: Local Company

Indian employers relying on the terms of the General Permission enacted by the Reserve Bank of India (RBI) must file an annual report with the RBI providing details regarding the shares issued to residents of India, the number of employees who received the shares, the amount of funds remitted for the purchase of shares and amounts remitted on account of recharge arrangements, if any, during the previous tax year on a specified form. The report must be made by September 30 at the latest.

This information has been provided by our collaborating law firm in India, Little & Co. (contact: Rajni Divkar at rajni.divkar@littlecompany.com)

 

China: SAFE Quarterly Reports

October 3, 2020
Affects: Local Company

Companies that have obtained SAFE approval for their equity plans in China are required to file quarterly reports with their local SAFE office within three business days following the end of the relevant quarter.

This information has been provided by our collaborating law firm in China, Martin Hu & Partners (MHP) (contact: Kevin Xu at kevin.xu@mhplawyer.com)

 

Saudi Arabia: Quarterly Equity Reporting

October 10, 2020
Affects: Parent Company

Companies offering share plans to employees in Saudi Arabia under the revised securities law exemption must notify the Capital Market Authority (“CMA”) within 10 days after the end of the quarter following grant disclosing the total number and value of all offers made to employees during the preceding quarter. This notification can be made by an authorised person or by the company. Plan amendments or changes may also require additional filings with the CMA.

This information has been provided by our collaborating law firm in Saudi Arabia, Tamimi (contact: Grahame Nelson at g.nelson@tamimi.com)

 

India: Employer Tax Filings

October 15, 2020
Affects: Local Company

Indian employers are required to file Form 24Q with the Indian tax authorities on a quarterly basis. These quarterly returns report information on employment income paid to employees (including from share-settled awards) as well as taxes withheld.

The quarterly returns must be submitted by:

  • May 31 for the quarter ending March 31
  • July 31 for the quarter ending June 30
  • October 31 for the quarter ending September 30
  • January 31 for the quarter ending December 31

This information has been provided by our collaborating law firm in India, Little & Co. (contact: Rajni Divkar at rajni.divkar@littlecompany.com)

 

Upcoming Events

NASPP Conference & Exhibition 2020

September 1-10, 2020

The annual National Association of Stock Plan Professionals (NASPP) Conference & Exhibition goes virtual. 

More info: https://conference.naspp.com/event/376df509-7b86-47ea-82eb-06d5178bf3a5/summary

 

Global Equity Organization's 21st Annual Conference

September 21 - October 30, 2020

GEO’s 21st Annual Conference is an all virtual event, running weekly from September 21 through October 30, 2020.

More info: https://www.globalequity.org/geo/Virtual2020

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