Cyprus Mail www.cyprus-mail.com
Tuesday, March 12, 2013
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CYPRUS
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Archbishop may sue over ‘wrongly maligned’ bank
Accused in India gang rape found dead in cell
ABC news faces a $1b suit over ‘pink slime’ beef product
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Signs of retreat on corporate tax Increase in tax rate may be the price of avoiding haircut on bank deposits
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HE GOVERNMENT appears prepared to agree to a small increase in Cyprus’ corporate tax rate to stave off IMF pressure for investors to take losses on bank deposits as part of a bailout, a source close to the talks with international lenders said yesterday. A source with direct knowledge of the government’s consultations with the lenders told Reuters that a “small” corporate tax increase could be considered by Cyprus, along with a temporary levy on capital gains. “It looks like consultations are starting to yield results, and the proper compromises are being found,” the source said. International lenders, who resumed talks with Cyprus last week, have asked the government to raise its corporate tax rate to 12.5 per cent from 10 per cent, and introduce a capital gains levy, to ensure it can repay an international bailout which it requested last year. Media reports have also suggested that Cyprus would ask Greece to use some of the funds from Athens’ EU/IMF bailout to help Cypriot banks with a presence in Greece. Athens, however, played down such talk yesterday. “There has been no specific request by the Cypriot side to Greece to contribute to the recapitalisation of Cypriot banks,” Greek government spokesman Simos Kedikoglou told reporters after President Nicos Anastasiades met Greek Prime Minister Antonis Samaras
in Athens yesterday. Ahead of the two leaders’ meeting, Finance Minister Michalis Sarris met his Greek counterpart Ioannis Stournaras in Athens on Sunday. “What there is is close cooperation and determination to get out of the crisis together,” Kedikoglou said. Cyprus needs up to €17 billion in emergency loans almost the size of its gross domestic product - mostly to recapitalise its banking sector, which has been hit by its exposure to debt-laden Greece. The island’s corporate tax, among the lowest in the European Union, was previously considered a no-go area but harsher alternatives mooted by international lenders appear to leave little option. Seen as more serious threats are a haircut on bank deposits and financial transaction tax (FTT). “As a state we need to make certain choices because at the end of the day the bailout accord is necessary to avoid bankruptcy,” ruling DISY deputy chairman Averof Neophytou told the state broadcaster yesterday. “You cannot reject everything. At the end we will look at the pros and the cons, lay out priorities then decide what measures can be taken which are not destructive for the promotion of growth.” Although government sources said the European Commission has ruled out a haircut on deposits, the IMF insists on keeping the
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The economy loomed large as Greek Prime Minister Antonis Samaras met with President Anastasiades yesterday (CNA)
Report: beauty still unjustly ‘visible’ through a grimace BEAUTIFUL people are seen as good looking even if they distort their faces into grimaces of disgust, surprise, fear or anger, according to new research. Unattractive people, on the other hand, are seen as unappealing even if they smile broadly because the underlying structure of the face is what others recognise, not the expression. But expressions can still make a small difference as a signal of whether someone is worth pursuing as a mate, the researchers found. Dr Ed Morrison, of the Department of Psychology at the University of Portsmouth, wanted to study whether attractiveness was more to do with how you look or how you present yourself.
He found facial attractiveness remained steadfast in other people’s minds, no matter what expression a person displays. Dr Morrison said: “The hard tissues of the face are unchangeable and it seems people, both men and women, can tell if the underlying structure of the face is attractive or not no matter what expression a person has on their face. “Evolutionary theory has long suggested facial attractiveness is one of the key cues of someone’s biological quality and that humans prefer an attractive face when choosing a mate.” The study did find small differences in how others rated a person’s attractiveness based on the expression on their
face, but the variations were limited and only about half as important as variations between the people themselves. Also, happy expressions were no more attractive than neutral expressions. Dr Morrison said: “People do make decisions about the attractiveness of others based on their facial expression, but this has less to do with deciding if they are attractive and much more to do with deciding if someone is worth pursuing as a mate. “For example, disgust or contempt are a clear signal to not pursue, while smiling or neutral expressions are likely to mean mating effort will be rewarded.” The research is published in the Journal of Nonverbal Behaviour.