Firm news
Industry Updates: Highlights from Member Firms and Key Changes in Accountancy
The UK Government introduces new financial regulator
The FCA (Financial Conduct Authority) is being phased out to become a new, more modern body, the ARGA (Audit, Reporting and Governance authority).
With the arrival of a new government and after the King’s Speech, new legislation was announced to strengthen audit and corporate governance to provide investors, employees and consumers with greater confidence in the health of UK companies.
The Draft Audit Reform and Corporate Governance Bill will put the FRC on a statutory footing through the establishment of the Audit, Reporting and Governance Authority (ARGA), building on the FRC’s work in recent years to become a more robust and effective regulator. The ARGA’s remit will be to support the UK’s economic growth and international competitiveness, while ensuring an ethical environment and strong legal framework.
ARGA will have a wider remit than the FRC, by extending Public Interest Entity status to the largest private companies. Rules on smaller Public Interest Entities will be removed or relaxed. ARGA will also be given powers to investigate and sanction company directors for serious failures in relation to their financial reporting and audit responsibilities. Finally, the Bill will introduce a regime to oversee the audit market, protect against conflicts of interest at audit firms, and build resilience withing the industry and the economy.
It is not clear when the ARGA will be in full effect, but new rules are likely to be trialled over the next few years ahead of full implementation.
Dusting off the dancing shoes with Moores Rowland, Indonesia
After hours at Moores Rowland Indonesia: From badminton to chess the MRI family enjoys many activities arranged by our HR department that bring us even more together. Line dancing over several sessions is a favourite!
Megaprocesos guides clients through changes in Latin America
Legislative changes in Honduras and the Dominican Republic call for expert knowledge
In line with many jurisdictions, both the Dominican Republic and Honduras are bringing in new judicial frameworks to clarify transfer pricing and cross-border taxation. With nearshoring being an area of strong recent growth, especially in North America, these nations are seeking to make tax rules simple, transparent and equitable.
Honduras and the Dominican Republic are pioneers in the implementation of Country-by-Country Reporting in the Central America and Caribbean region. This puts a higher tax burden on multinational companies and helps to ensure that the territories are not used as tax havens or as tools in money laundering schemes. In the case of any non-compliance, legal bodies have been given powers to levy fines and sanctions.
Recognising the increasing numbers of multinational businesses operating in their jurisdictions, both countries are seeking to maintain their attractiveness to investors while increasing fairness in line with global rules.
Some key points by country include –
Honduras:
- A “Multinational Group” will be understood as two or more companies whose tax residence are in different jurisdictions or include a company that is resident in Honduras and is connected with another jurisdiction through a permanent establishment there.
- “Excluded Multinational Group” means a group whose total consolidated revenues were less than 750 million Euros or 19 billion Honduran Lempiras during the fiscal year immediately preceding the reporting year.
- This Agreement will enter into force on January 1, 2025.
- The non-submission, providing false, incomplete or inaccurate data, or late submission, will be sanctioned with a penalty of US$10,000, in accordance with the provisions of the Transfer Pricing Law.
Dominican Republic:
- In October 2018, the Dominican Republic, through the Ministry of Finance, joined the OECD’s (Organisation for Economic Co-Operation and Development) inclusive framework, as part of the state’s efforts to apply the highest international standards in transparency and the fight against tax evasion and avoidance.
- This is applicable to the ultimate parent company, or an entity that is part of a multinational group, which is resident for tax purposes in the Dominican Republic and when consolidated income is greater than RD$38,800,000,000.00 (750 million Euros).
- The Transfer Pricing Study is mandatory and is due on March 31 each year.
- The Tax Administration will not rely on Country-by-Country Reporting to make their own transfer pricing adjustments.
- As of 2023, the Tax Administration may apply penalties in accordance with the Tax Code, with fines ranging from five minimum wages up to double the amount omitted, including the shutdown of the company.
Stephany Vasquez, Tax, Legal and Transfer Pricing Partner -
“The implementation of the CbCR in Honduras and the Dominican Republic forced tax administrations to migrate to a virtual agency. Despite not belonging to the OECD, they are aligned with international standards for regulating multinational enterprises whose economic activities are related to manufacturing and production, financial services, logistics and administrative services, intellectual property management, product acquisition and share ownership, among others. For CbCR tax compliance, the following must be taken into account: total sales, capital gains and losses for the payment of income tax and non-cash assets. At Megaprocesos, we have a highly qualified team that can attend to their needs.”
PM+M launches Lead, Learn + Grow podcast series
The British firm takes hold of their narrative
Serving to extend their reputation as a leading regional and national firm, PM+M in the UK have developed a series of podcasts to discuss industry crosscurrents and points of interest. Becky Campbell, Senior Executive, Marketing and Business Development at the firm, leads us through why the podcasts came into being at the firm.
What prompted the firm to begin creating these?
We introduced the Lead, Learn + Grow podcast to build awareness of our new managing partner, Helen Clayton, and raise her profile as a respected leader in the North West.
What was your vision for the series?
When we launched Lead, Learn + Grow, our vision was simple: to create a platform where leaders, learners, and entrepreneurial growing businesses could find inspiration, practical advice, and a sense of community.
Who is listening?
We’ve seen our listener base grow massively spanning, various industries, professions, and at various stages of their careers – we are delighted with the response we have received.
What has been the most important result for the firm?
Quality of our conversations - we’ve got a full line up of guests until the end of 2025 with some of the most respected business leaders in the North West. Our guests are really open and have shared their unique insights, real-world experiences, invaluable advice and even their vulnerabilities, helping our listeners not just to learn, but to apply these lessons
Do you have any further plans for the podcast?
We remain committed to providing high-quality, impactful, honest content. We’re planning even more insightful episodes, featuring a wider array of voices and perspectives, to ensure that Lead, Learn + Grow remains a valuable resource
Puente Sur leader recognised by chambers
Praxity is continually astounded by the level of success and expertise at our member firms.
Ignacio Gepp, partner at Puente Sur in Chile, has been recognised by Chambers and Partners in the 2025 Latin America Guide in the Tax category. This is his 7th consecutive year of receiving this recognition, underscoring his exceptional dedication to his craft.
According to the British research company “his in-depth knowledge of tax compliance and planning in Chile makes him an invaluable asset for any client wishing to explore the Chilean Market.” Ignacio’s unique ability to put enormously complex tax matters into simple words has led him far, with his continued success a mark of both his work and his firm’s.
Puente Sur has also been recognized as a "Recommended Firm" in the ITR World Tax 2025 Rankings for Chile. This distinction reflects their excellence across multiple categories:
- General Corporate Tax
- Indirect Tax
- Transfer Pricing
- Tax Controversy
Sincere congratulations to Ignacio and the Puente Sur, from all at Praxity!