International Tax Asia Pacific March 2026
This e-newsletter gives you an overview of international tax developments being reported globally by KPMG member firms in the Asia Pacific Regions between 1 March and 31 March 2026.
For a full summary of global tax developments, visit kpmg.com/TaxNewsFlash.
To contact the International Tax Team email internationaltax@kpmg.com.
To register for the International Tax webcasts, click here.
Australia
Australia | |||
Tax legislation approved and regulatory update | BEPS Pillar 2 | 27 March 2026 | Administrative amendments to domestic minimum tax provisions. Read more |
Administrative and case law | Income tax | 27 March 2026 | Termination of taxpayer’s gaming licenses did not result in deductible loss under Taxation of Financial Arrangements (TOFA) rules (Full Federal Court decision). Read more |
Proposed legislation | Various tax topics | 26 March 2026 | Amendments to exclude tobacco, gambling from research and development (R&D) tax incentive introduced to Parliament. Read more |
Administrative and case law | Income tax | 25 March 2026 | Guidance on application of thin capitalization rules to Australian branches of foreign banks. Read more |
Tax legislation approved and regulatory update | Various tax topics | 25 March 2026 | Australia and European Union (EU) finalize free trade agreement. Read more |
Tax legislation approved and regulatory update | BEPS Pillar 2 | 23 March 2026 | Updated list of jurisdictions with qualifying taxes under Pillar Two rules. Read more |
Proposed legislation | Income tax | 23 March 2026 | Consultation guide for Board of Taxation’s review of thin capitalization amendments. Read more |
Administrative and case law | Income tax | 20 March 2026 | Australian Taxation Office (ATO) impact statement on High Court decision holding taxpayer not liable for withholding tax on embedded royalties or subject to diverted profits tax (DPT). Read more |
Administrative and case law | Indirect tax | 17 March 2026 | Taxpayer entitled to refund of overpaid goods and services tax (GST) that was not “passed on” to purchasers (Federal Circuit and Family Court decision (FCAFC)). Read more |
Proposed legislation | Indirect tax | 13 March 2026 | Enhancement of stamp duty concession in 2026-2027 budget (Western Australia). Read more |
Tax legislation approved and regulatory update | Income tax | 13 March 2026 | Guidance expanding critical mineral processing tax incentive. Read more |
Administrative and regulatory update | BEPS Pillar 2 | 12 March 2026 | Australian Taxation Office (ATO) updates advice on Pillar Two rules. Read more |
Administrative and case law | Income tax | 05 March 2026 | Related-party payments not deductible because no legally enforceable contract (Full Federal Court decision). Read more |
Administrative and case law | Tax compliance | 05 March 2026 | Finalized public country-by-country (CbC) reporting filing instructions, updated guidance. Read more |
Proposed legislation | BEPS Pillar 2 | 04 March 2026 | Consultation on additional draft amendments to Pillar Two rules, recent administrative guidance on Pillar Two. Read more |
Tax legislation approved and regulatory update | BEPS Pillar 2 | 02 March 2026 | Amendments to global minimum tax rules in line with GloBE rules. Read more |
Azerbaijan
Azerbaijan | |||
Tax legislation approved and regulatory update | Indirect tax | 05 March 2026 | Mandatory Value Added Tax (VAT) obligations for nonresident electronic service providers. Read more
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Hong Kong (SAR), China
| Hong Kong (SAR), China | |||
Administrative and case law | Various tax topics | 27 March 2026 | Tax issues discussed in 2025 annual meeting between tax authority and accountants’ group. Read more |
Administrative and case law | Tax compliance | 11 March 2026 | Updated version of encryption tool for data files. Read more |
India
India | |||
Administrative and case law | Various tax topics | 31 March 2026 | Intra-group share buyback qualifies as reorganization under treaty (tribunal decision), other recent tax-related court decisions. Read more |
Proposed legislation | Various tax topics | 27 March 2026 | Finance Bill, 2026 passed by lower house of Parliament with direct tax amendments. Read more |
Administrative and case law | Income tax | 27 March 2026 | No goodwill created in related-party amalgamation (tribunal decision). Read more |
Tax legislation approved and regulatory update | Transfer Pricing | 26 March 2026 | Transfer pricing changes in final Income-tax Rules, 2026. Read more |
Administrative and case law | Various tax topics | 23 March 2026 | Frequently Asked Questions (FAQs) on transition to Income-tax Act 2025. Read more |
Administrative and case law | Income tax | 23 March 2026 | Thin capitalization rules violated non-discrimination clause under Denmark treaty (tribunal decision). Read more |
Japan
Japan | |||
Tax legislation approved and regulatory update | Various tax topics | 31 March 2026 | 2026 tax reform bills passed by National Diet. Read more |
Tax legislation approved and regulatory update | BEPS Pillar 2 | 30 March 2026 | Administrative guidance on undertaxed profits rule (UTPR) and qualified domestic minimum top-up tax (QDMTT). Read more |
Mongolia
Mongolia | |||
Proposed legislation | Various tax topics | 10 March 2026 | Tax reform package submitted to Parliament. Read more |
Oman
Oman | |||
Tax legislation approved and regulatory update | Tax compliance | 16 March 2026 | Second phase of implementation of electronic invoicing (e-invoicing). Read more |
Pakistan
Pakistan | |||
Proposed legislation | Various tax topics | 09 March 2026 | Draft electronic invoicing (e-invoicing) rules, revised fair market valuations of immovable property. Read more |
Phillipines
Philippines | |||
Administrative and case law | Tax compliance | 23 March 2026 | Guidance concerning tax audits, electronic letters of authority, and annual income tax returns. Read more |
Qatar
Qatar | |||
Tax legislation approved and regulatory update | BEPS Pillar 2 | 03 March 2026 | Pillar Two resolution provides rules for applying domestic minimum top-up tax (DMTT) and income inclusion rule (IIR). Read more |
Singapore
Singapore | |||
Administrative and case law | Tax compliance | 20 March 2026 | Implementation of FATCA XML schema version 2.0.1. Read more |
South Korea
South Korea | |||
Tax legislation approved and regulatory update | Income tax | 11 March 2026 | New trust reporting obligation, Exit Tax expansion, and updated residency rules. Read more |
Other | Various tax topics | 04 March 2026 | Mandatory online employment reporting for foreign nationals. Read more |
Tax legislation approved and regulatory update | BEPS Pillar 2 | 02 March 2026 | Domestic minimum top-up tax (DMTT) enacted. Read more |
Sri Lanka
Sri Lanka | |||
Other | Various tax topics | 02 March 2026 | Temporary electronic travel authorization (ETA) processing measures implemented amid system outages. Read more |
Taiwan
Taiwan | |||
Treaties | Income tax | 18 March 2026 | Taiwan-Singapore income tax treaty enters into force. Read more |
Turkey
Turkey | |||
Tax legislation approved and regulatory update | Indirect tax | 25 March 2026 | Reintroduction of fuel price stabilization mechanism for special consumption tax (SCT) on certain petroleum products. Read more |
Administrative and case law | Tax compliance | 24 March 2026 | Pilot for electronic VAT returns expanded to additional provinces. Read more |
Tax legislation approved and regulatory update | Indirect tax | 10 March 2026 | Increased special consumption tax (SCT) on petroleum, tobacco, and alcohol, increased customs taxes on low-value imports, medicines, and dietary supplements. Read more |
Vietnam
Vietnam | |||
Tax legislation approved and regulatory update | Income tax | 18 March 2026 | Guidance on various provisions under corporate income tax law. Read more |
