bluuebunny/crossref_metadata_2025 huggingface dataset:
Luxembourg Reshapes Its Transfer Pricing Landscape
Authors: Hoor O.R.
Published: December 2023

On 19 December 2014, the Luxembourg legislator adopted new transfer pricing legislation that formalizes the application of the arm’s length principle and the requirement for specific transfer pricing documentation. While the arm’s length principle was already firmly ingrained in Luxembourg tax law, the new rules further elevate the importance of transfer pricing. This article provides an overview of Luxembourg’s new transfer pricing landscape.
The European Court of Justice – Recently Decided and Pending Cases
Authors: Annacondia F.
Published: December 2023

In this overview, the editor provides a list of judgments of the Court of Justice of the European Union (ECJ) and Opinions of the ECJ’s Advocates General delivered in VAT cases in the past 12 months. The overview also contains a list of the remaining cases pending before the ECJ on 31 August 2015, and a list of cases that have been removed from the ECJ’s register in the past year. Summaries of the judgments, Opinions and other pending cases that have not yet been published are presented following the lists.
Taxpayers’ Rights in the Courtroom
Authors: Martin P. (Philippe)
Published: December 2023

In this article, the author presents the following two issues that affect the behaviour of courts in tax cases: (i) the judicial treatment of procedural violations committed by the tax administration; and (ii) the possibility of court benevolence toward non-represented or badly represented taxpayers.
The Combined Effective Corporate Tax Rate in Malta Explained
Authors: Vroom A.
Published: December 2023

In this note, the author explains Malta’s full imputation system, as
well as its tax refund system and concludes that, as a result of the operation
of these two systems, although the corporate average effective tax rate is high
in Malta, the combined average effective tax rate is one of the lowest in the
European Union.
Deductibility of Interest Incurred on Loans Used to Finance Dividend Distributions: Three Cases from Central Europe
Authors: Fekar P. , Drábková M. , Wysocki P. , Maksymiuk P. , Gerdes I.
Published: December 2023

In this article the authors outline three recent cases from the Czech Republic, Poland and Austria that deal with the deductibility of interest incurred on loans used to finance dividend distributions, wherein the courts held that the expenses were deductible due to the link between the expenses and taxable income. The tax laws of the Czech Republic, Poland and Austria do not explicitly address this issue. The relevant supreme administrative courts, however, share a strong view that such interest costs should be treated as tax deductible.
The 2022 New Netherlands Transfer Pricing Decree
Authors: Betten R.
Published: December 2023

On 22 June 2022 the Netherlands published an update to the 2018 Transfer Pricing Decree. The main amendments concern the transfer pricing treatment of financial transactions and intra-group services.
Review of Anti-Avoidance Measures of a General Nature and Scope – General Anti-Avoidance Rules and Other Measures
Authors: Mosquera Valderrama I.J. , Burgers I.J.J.
Published: December 2023

This article undertakes a review of the general anti-avoidance rules and other related measures as considered in one of the main subjects (“Anti-avoidance measures of a general nature and scope – GAAR and other rules”) of the 2018 Seoul International Fiscal Association Congress.
The Classification of Debt and Equity
Authors: Kok R.
Published: December 2023

The author analyses the classification of an instrument as debt or
equity from a Dutch perspective. It can be expected that the insights gained
from this discussion of the Dutch approach to the classification question, will
also be useful for other jurisdictions.
Commission
Authors: Morales T.
Published: December 2023

This overview highlights the Commission’s (i) release of a roadmap to defining business tax policy for the 21st century, (ii) launch of a public consultation on the exchange of information for crypto-assets and e-money (DAC8), (iii) launch of a public consultation on simplified procedures for improved tax compliance, (iv) warning against a premature withdrawal of COVID-19 pandemic fiscal support measures, (v) approval of the Danish tax deferral scheme in the context of the COVID-19 pandemic, and (vi) referral of the United Kingdom to the Court of Justice of the European Union for failure to recover illegal State aid related to the tax exemption for interest and royalties in Gibraltar.
Interest on Outstanding Receivables – A Potpourri of Litigation?
Authors: Dugar A. , Bhandari L.
Published: December 2023

In this article, the authors examine the 2012 amendment to the Income-tax Act, which brought receivables and debts arising during the course of business with foreign associated enterprises within the definition of international transactions, which are subject to the transfer pricing rules. The article considers whether outstanding receivables constitute separate international transactions and whether interest on the receivables should be separately charged to tax. The authors canvass the variety of High Court and Appellate Tribunal decisions on these questions and caution Indian taxpayers with their reporting on outstanding receivables and the need to properly benchmark them.
“Equalization Levy” Proposal in Indian Finance Bill 2016: Is It Legitimate Tax Policy or an Attempt of Treaty Dodging?
Authors: Mehta A. (Amar)
Published: December 2023

This article provides an analysis of the recently introduced equalization levy on online advertisements in India. The question is whether this levy is compatible with the Indian tax treaties. The issue is of particular interest for non-resident enterprises and academics.
A Review of Comments on the Tax Challenges of the Digital Economy
Authors: Larking B.
Published: December 2023

In this article, the author examines the comments received by the OECD on action 1 of the base erosion and profit-shifting project regarding the tax challenges of the digital economy.
Parliament
Authors: Alvarado M.
Published: December 2023

This overview highlights the Parliament’s (i) endorsement of the new Directive on country-by-country reporting (CbCR), (ii) investigation of tax practices uncovered by the LuxLetters, (iii) discussion of the EU digital levy proposal and (iv) plans to tackle fraud through a reform of withholding tax systems.
Tax Provisions of the CARES Act: The International (and Institutional) Implications
Authors: David Rosenbloom H. , Barnes P.A.
Published: December 2023

This article outlines the measures affecting both corporations and individuals that the United States has adopted in response to domestic and international taxation issues to which the COVID-19 pandemic has given rise.  Those measures include announcements by US tax authorities extending time limitations and otherwise providing relief as well as enactment of the Coronavirus Aid, Relief, and Economy Security Act by the US Congress.
Income tax reform to control abusive structures
Authors: Ridder P.L. de
Published: December 2023

An article on the domestic tax developments to curb abusive
transactions in Indonesia, in light of the new income tax law and tax authority
guidance. Specific developments include controlled foreign corporation,
transfer pricing and beneficial ownership rules.
Treatment of Intangibles under New US Tax Regime
Authors: Novak K.L. , Thomas M.P. , Lowell C.H.
Published: December 2023

Issues pertaining to intangibles always loom large in international taxation, and intangibles were indeed a focus of the recent US tax reform. The new law imposes many fundamental changes that will require advisors to challenge most of the conventional wisdom that has developed in connection with effective tax rate management and intangibles.
Parliament
Authors: Valério C.
Published: December 2023

This overview highlights the European Parliament’s (i) study reviewing tax compliance costs and recommending further harmonization in the European Union; and (ii) debate before the ECON Committee about the DEBRA Proposal.
Taxation Aspects of Mergers and Acquisitions
Authors: Crist N. , Thin S.C.
Published: December 2023

The authors provide a succinct overview of the key tax issues that arise in merger and acquisition transactions from the perspective of both the purchaser and vendor entities.
The Application of Spanish CFC Rules to Investments in EU Alternative Funds: Current Overview and the Impact of the ATAD Directive
Authors: Ferrer C. , Irazusta P.
Published: December 2023

This article focuses on the application of the Spanish controlled foreign company (CFC) rules to EU alternative investment funds (AIFs) as defined in article 4(1)(a) of Directive 2011/61/UE of the European Parliament and the Council of 8 June 2011 on Alternative Investment Fund Managers (AIFM Directive). The focus of the article is in particular on AIFs managed by AIF managers that meet all the requirements of the AIFM Directive and, therefore, can be freely distributed throughout the European Union at least among professional investors.
Virtual Currencies in Mexico: Is Bitcoin Subject to VAT in Mexico?
Authors: Juárez Hernández F. , Vázquez Hernández R.
Published: December 2023

In this article, the authors discuss the VAT treatment of sales and transfers of Bitcoin carried out in Mexico. For this purpose, they analyse the current state of Mexican law, but also review the applicable VAT regime in jurisdictions around the world, such as in Japan, Spain, Switzerland and the European Union. The authors then provide an overview of recently enacted legislation in Mexico and its foreseeable impact on the VAT treatment of Bitcoin.
New Transfer Pricing Documentation Requirements in Italy: The Renewed Interplay between Domestic Regulations and International Sources
Authors: Albano A. , Monga C.G.
Published: December 2023

On 23 November 2020, the Italian tax authorities issued the new Operational Instructions on transfer pricing documentation, applicable already for fiscal year 2020. The new operational instructions are aligned with domestic and international sources on transfer pricing documentation, specifically the OECD Guidelines. Taxpayers and tax consultants will need to carefully check that their documentation is in line with the new instructions with regard to the changes from the previous regime stemming from 2010.
Marketing Intangibles: The Latest Controversy
Authors: Casley A.J. , Timbadia B.
Published: December 2023

As the OECD tackles its new project on intangibles, recent tax audit activity and two recent cases in particular have opened up the issues around marketing intangibles. This article revisits those issues to see what can be learned.
Corporate Income Tax: Marking the Passage of Time
Authors: Bellingwout J.
Published: December 2023

Triggered by the international debate on aggressive tax planning and
base erosion and profit shifting, the author goes back to the basic principles
of corporate income tax (CIT). In this article, the author explores whether
CIT, as a tax on an entity’s profit in its current form, has reached its
outermost limits both in the Netherlands and internationally, and whether the
basic principles of CIT should be redesigned in order to reshape the future of
CIT.
VAT Treatment of Transactions in the German Construction Sector
Authors: Bal A.
Published: December 2023

Construction is a complex process involving many parties with different responsibilities. Although the supplies made by all parties are closely related, the VAT treatment of all individual transactions must be assessed separately. Cross-border construction activities become even more complicated and may also give rise to fixed establishments. In this article, the author discusses the VAT aspects of construction projects under German VAT law, and gives a number of examples reflecting the VAT issues that may arise for building contractors.
Implementation of BEPS Initiative and EU Directive in Germany
Authors: Baltromejus M.
Published: December 2023

This note outlines the contents of the draft German bill implementing the recommendations of the OECD BEPS project Final Reports, as well as the EU Automatic Information Exchange Directive (2015/2376).
The Role of Context in Interpreting International Tax Instruments: A Solution to the Erosion of Internal Cohesion of Domestic Tax Systems by International Law? The EU Directive on Administrative Cooperation Version 6 (DAC6) – A Case Study
Authors: Jackson G. , Brown H. (Harriet)
Published: December 2023

This article considers a method of interpreting multi-jurisdictional provisions that permits the continued integrity of domestic legislative systems, particularly tax systems with diverse tax bases. To illustrate this, the article discusses the meanings of “exemption” and “preferential regime” as used in the EU Directive on Administrative Cooperation Version 6 (DAC6).
Exempting Foreign Branch Income and the Active Income
Requirement
Authors: Joseph A.
Published: December 2023

The author discusses the taxation of branch profits under Australian
statutory provisions, the impact of Taxation Ruling TR 2014/3 and the treatment
of permanent establishments under the treaties with the United States and
Singapore.
Guidance Letter on Transfer Pricing Documentation
Authors: Stroykova S. , Lemetyuynen I. , Slavinskaya N.
Published: December 2023

On 30 August, the Russian Federal Tax Service issued Guidance Letter OA-4-13/14433, which clarifies certain transfer pricing provisions in the Tax Code and related taxpayer obligations as regards transfer pricing documentation.
New Guidance on Advance Pricing Agreements
Authors: Coronado L. , Nguyen P.
Published: December 2023

Pursuant to an APA pilot programme period and comments collected from
a draft circular, the Ministry of Finance issued final APA regulations
effective February 2014.
The New Luxembourg Tax Ruling Procedure
Authors: Mischo P. , Kerger F.
Published: December 2023

This note addresses the new legal framework regarding tax ruling requests filed with the Luxembourg tax administration, which was adopted in December 2014.
Cash Drain Transactions and Tax Deductibility of Certain Expenses
Authors: Lai C.Y. , Lievens K.
Published: December 2023

The Belgian tax authorities have had increasing success in challenging perceived abusive foreign tax credit schemes. This article considers the current state of those challenges, as well as a recent decision of the Brussels Court of First Instance involving a foreign tax credit scheme and the deductibility of certain expenses and losses.
Supreme Court Decision Raises Doubts on Transfer Pricing Law
Authors: Carreño F. , Rodriguez R. (Rebeca)
Published: December 2023

The Prevention of Tax Fraud Act modified transfer pricing
rules in Spain. This article considers the resulting changes, as well as a
Supreme Court decision on the subject.
Legal Remedies in the
German Tax System
Authors: Krabbe Helmut
Published: December 2023

In this article, the author provides an introduction
to and describes the administrative phase, courts, appeals, procedures and
decision in respect of tax cases in Germany, a Civil Law jurisdiction.
2012 Tax Changes
Authors: Tic-Chiliment V.
Published: December 2023

The beginning of 2012 was no different from that of most previous years in regard to tax law amendments: both the Fiscal Code, together with its norms of application, as well as the Fiscal Procedure Code, underwent significant changes. Further, other tax related legislation was enacted. This note outlines a selection of the numerous legislative amendments and additions.
Constitutionality of the Brazilian CFC Legislation
Authors: Bocachica M. , Arruda Ferreira V.
Published: December 2023

In this article, the authors discuss a recent decision of the Brazilian Supreme Federal Court on the constitutionality of the Brazilian controlled foreign company legislation.
Transfer Pricing, Users’ Participation and Profit Attribution to Digital Permanent Establishments: A Case Study
Authors: Petruzzi R.
Published: December 2023

The recent introduction into the tax legislations of some countries of the definitions of “digital” permanent establishments (PEs) will necessarily generate the issue of assessing how much profit to attribute to a digital PE. This significant issue is still open to discussion and interpretation. This article aims at illustrating the issue by means of a practical example, as well as by providing some preliminary solutions to the issue.
Evaluating an Alternative Approach to Taxing Digital Platforms in an International Context
Authors: Swain S. , Tandon S. (Suranjali)
Published: December 2023

In this article, the authors propose a novel way of taxing digital platforms internationally, based on India’s experience. The article explores a possible means to tax without changes to domestic tax law and treaties.
Cross-Border and EU Aspects of Distressed Group Debt: The Dutch Creditor’s Viewpoint
Authors: Kok R.
Published: December 2023

In this article, the author explains the significant income tax consequences that can arise, from the viewpoint of Dutch creditors, when restructuring distressed debt, particularly in the cross-border and EU contexts. Further, the author points out that certain aspects of the provisions applicable in this situation are not in line with EU law.
Countering Harmful Tax Practices: BEPS Action 5 and EU Initiatives – Past Progress, Current Status and Prospects
Authors: Liebman H.M. , Heyvaert W.E.C. , Oyen V.
Published: December 2023

The authors of this note discuss the interplay between the OECD’s BEPS Action 5, which addresses the detection and coordinated countering of harmful tax practices through a renewed focus on both transparency and substance requirements, and work being undertaken at the EU level to build on the results of the BEPS project.
Commission
Authors: Alvarado M.
Published: December 2023

This overview highlights the Commission’s progress report regarding the modernization of EU customs procedures, its State aid investigation against a specific tax regime, its reasoned opinions issued to certain Member States for failing to amend their tax rules according to EU law and its approval of certain maritime transport support schemes.
The Long Road to Corporate Tax Reform
Authors: Smith P.
Published: December 2023

In this article, the author examines the history of UK CFC provisions and provides a comprehensive overview of the current reform process that commenced in June 2007 and culminated in the publication of draft CFC legislation on 6 December 2011.
Taxation of Partnerships
Authors: Shah S.
Published: December 2023

Partnerships including limited liability partnerships are available in
India and this article provides an overview of the regime. The article also
looks at the regulatory and tax aspects of partnerships, and concludes with
some suggested refinements to the regime.
Attribution of Profits to a Permanent Establishment of a Company Engaged in Online Sales of Goods through a Local Warehouse
Authors: Dutriez J.-F.
Published: December 2023

This article discusses the allocation of profits to a permanent establishment of a company engaged in online sales of goods through a local warehouse, as a result of the OECD BEPS Action Plan. It also provides calculation examples that illustrate different permanent establishment situations.
FATCA-Exempting Deemed-Compliant Foreign Financial Institutions and Intergovernmental Agreements
Authors: Joseph A.
Published: December 2023

In light of reporting obligations under the Foreign Accounts Tax Compliance Act, commonly known as FATCA, the Australian government has invited submissions on the advantages and disadvantages of an intergovernmental agreement between Australia and the United States.
The Offshore Financing of Swiss Groups: A Recent Decision of the Swiss Federal Court Regarding Outbound Permanent Establishments
Authors: Huber M.F. , Seiler I. , Kobierski M.
Published: December 2023

In a recent decision, the Swiss Federal Supreme Court considered the activities performed by the taxpayer to be insufficient to justify an offshore permanent establishment for financing purposes in respect of a purely Swiss group that exercised its core business activities exclusively within Switzerland.
The Belgian Patent Income Deduction
Authors: Warson E. , Claes R.
Published: December 2023

This note updates an article on the Belgian patent income deduction published in European Taxation 2/2008. In particular, the authors comment on recent clarifications of the main conditions for application of the PID contained in the Frequently Asked Questions published by the Belgian tax authoritiesand on the advance rulings of the Belgian ruling commission regarding this regime.
The UN Model (2011) Special Issue – The Context and Contents
Authors: Goede J. de , Dickinson F.
Published: December 2023

This article sets the context for the Bulletin for International Taxation Special Issue on the UN Model (2011) and provides readers with a brief summary of its contents.
Manufacturing and Trading Incentives – Where Do We Stand Now in Asia?
Authors: Wong A. (Adeline) , Meng Y.W.
Published: December 2023

This article is based on a comparative survey presented at the 2009 Baker & McKenzie Annual Asia-Pacific Tax Conference and provides an overview of the available tax incentives.
Advance Pricing Agreements
Authors: Soan A. , Ganju S.
Published: December 2023

This article is the winning entry to the 9th Nani A. Palkhivala Research Paper Competition which was conducted by the All India Federation of Tax Practitioners. The authors comprehensively discuss the advance pricing agreement (APA) regime in India.
Article 3(2) of the OECD and UN Models: An International View
Authors: Schwarz J.S.
Published: December 2023

In this article, Jonathan Schwarz sets outs views for an international interpretation of article 3(2) (General definitions) of the OECD Model by reference to the UK judicial decision in Fowler v. HMRC, in response to those expressed by John Avery Jones.
Case Note: MSM Satellite – Payment to Overseas Broadcasters Not Royalty
Authors: Bhandari L.
Published: December 2023

This case note analyses the Bombay High Court in MSM Satellite. The Court held that payment to overseas broadcasters is not royalty.
FASTER: The European Commission Publishes a Proposed Council Directive Aimed at Improving the Withholding Tax Process within the European Union
Authors: Radcliffe P. , Devisscher R.
Published: December 2023

In this article, the authors discuss the European Commission’s legislative proposal for a Directive that aims to improve withholding tax processes, reduce barriers to an effective capital markets union and reduce potential fraud and abuse connected with such withholding tax claims.
NBR’s Tax Policy on Minimizing the VAT Burden in the Construction and Real Estate Industry in Bahrain
Authors: oğlu Majidli M.
Published: December 2023

In this article, the author clarifies the approach taken by Bahrain’s National Bureau for Revenue (NBR) in relation to the VAT treatment of transactions in the construction and real estate industry. The author also analyses the provisions of the VAT legislation to minimize the VAT burden on taxable persons in the construction and real estate industry.
Recent Developments
Authors: Joseph A.
Published: December 2023

Recent developments in Australia include a Full Federal Court decision on securitization and margin calls; proposed changes to goods and services tax for cross-border transactions, proposed amendments to the anti-deferral rules, a Taxation Ruling on transfer pricing and restructuring and changes to the tax treatment of investment income of foreign funds.
Global Transfer Pricing Conference 2018: Transfer Pricing Developments around the World
Authors: Storck A. , Petruzzi R. , Dziwiński K. , Prasanna S.
Published: December 2023

This article highlights key points discussed during the third Global Transfer Pricing Conference titled “Transfer Pricing Developments around the World”, organized by the WU Transfer Pricing Center at the Institute for Austrian and International Tax Law at WU (Vienna University of Economics and Business) and summarizes the topics analysed during the eight sessions of the event.
Parliament
Authors: Morales T.
Published: December 2023

This overview highlights the Parliament’s approval of the European Union's tax cooperation (Fiscalis) programme for 2021-2027.
The EU Digital Levy is Dead: Long Live a Pillar One Contribution?
Authors: Wolf R. A.
Published: December 2023

On 22 December 2021, the European Commission published its Proposal for “next generation of own resources” to finance the EU-response to the COVID-19 pandemic, but this did not include a new EU digital levy. Instead, a new EU contribution is being requested from Member States based on a reallocation of taxable profits under the future Pillar One regime. This note comments on the 22 December 2021 Proposal and the future of the EU digital levy.
Transfer Pricing – Increasing Enforcement, Audit and Dispute Resolution Mechanisms
Authors: Nguyen P.T.
Published: December 2023

The author summarizes the recent developments in the legal and regulatory framework and practical enforcement of transfer pricing in Vietnam. The remedies available under domestic laws as well as tax treaties for transfer pricing disputes are also covered.
An EU Corporate Income Tax Filling the Hole in the EU Budget: An End to Tax Competition and “Tax Abuse”?
Authors: Vanistendael F.
Published: December 2023

In his contribution to the 75th anniversary issue of the Bulletin for International Taxation, Professor Vanistendael proposes that an EU corporate income tax should be introduced to raise revenue for the EU Budget, end tax competition between the Member States and tax abuse, and increase democracy within the European Union.
At a Crossroads: Mandatory Disclosure under DAC-6 and EU Primary Law – Part 2
Authors: Blum D.W. , Langer A.
Published: December 2023

This article examines the Member States’ new obligations under the DAC-6, which requires the enactment of mandatory disclosure rules for potentially aggressive cross-border tax-planning arrangements and analyses their compatibility with EU primary law. After describing the tax policy environment in which the DAC-6 rules were introduced, Part 1 of this article, published in issue 6 of European Taxation (2019), discussed whether the Treaty on the Functioning of the European Union foresees a viable legal basis for harmonization with respect to this subject matter and whether the DAC-6 rules are in line with the fundamental freedoms. Part 2 continues with an in-depth analysis of the DAC-6’s potential interference with the rights enshrined in the Charter of Fundamental Rights of the European Union and closes by highlighting selected tax policy issues associated with the mandatory disclosure regime of the DAC-6.
US Tax Reform: Is There Likely to Be “Real” Simplification?
Authors: Sawyer A.J.
Published: December 2023

President Donald Trump’s proposed reforms, which are long on rhetoric and short on detail, would affect almost every individual and corporate in the United States, leading to lower income tax, especially for the wealthy and larger businesses, and significant spill-over effects beyond the United States. This article focuses on the extent to which the proposed changes may reduce complexity and facilitate simplification.
Commission
Authors: Valério C,
Published: December 2023

This overview highlights the Commission’s (i) adoption of the DAC7 Implementing Regulation for exchange of information with third countries; (ii) proposal for new digital tools under EU company law (iii) EESC support of the DAC8 proposal; (iv) referral of Belgium to the ECJ for incorrect transposition of the ATAD CFC provisions; and (iv) approval of Lithuanian scheme to support companies in the context of the Russian invasion of Ukraine.
Canada’s Transfer Pricing Test in the Aftermath of GlaxoSmithKline Inc.: A Critique of the Reasonable Business Person Test
Authors: Pichhadze A.
Published: December 2023

GlaxoSmithKline Inc. v. The Queen is a seminal Canadian transfer pricing case. On final appeal to the Supreme Court of Canada, the Minister of National Revenue asked the Court to determine whether the Court of Appeal erred in applying the reasonable business person test. The author critically analyses the Supreme Court’s handling of the Minister’s question and concludes that the Supreme Court erred in affirming the test of the Court of Appeal. Moreover, the Supreme Court infused further uncertainty as to which test applies by seeming to have acknowledged the relevance of both an empirical arm’s length test and a reasonable business person test.
Some Thoughts on the Treatment of Crypto Assets from an Italian Legal, Accounting and Tax Perspective
Authors: La Candia I. , Catinari E.
Published: December 2023

In this article, the authors analyse the legislation on crypto assets, focusing on the changes introduced by the Italian 2023 Finance Act, in light of the main international initiatives in the field (i.e. the OECD Crypto-Asset Reporting Framework and the EU Markets in Crypto-Assets Regulation). The Regulation adopted by the ECOFIN Council on 16 May 2023 constitutes the first piece of EU legislation intended to trace crypto asset transfers. It introduces specific rules on the prevention of market abuse, marking a clear departure from the past.
Exchange of Information and Rubik Agreements: The Perspective of an EU
Academic
Authors: Pistone P.
Published: December 2023

In this article, the author argues that global fiscal transparency
could soon become the first international customary law in tax matters, and
that Rubik agreements are not equivalent to automatic exchange of information,
not desirable from an international tax policy perspective and in conflict with
EU law.
Guidance Regarding Reconstruction of Cross-Border Transactions by the Commissioner
Authors: Joseph A.
Published: December 2023

This article considers subdivision 815-B of the Income Tax Assessment Act, which was introduced in 2013, as well as Taxation Ruling TR 2014/16 on the determination of substance in cross-border transactions.
Recent Developments and Resulting Implications Regarding a Financial
Transaction Tax in Europe
Authors: Vogel T. , Cortez B.
Published: December 2023

This note addresses current developments surrounding the introduction
of a financial transaction tax in the European Union. In particular, the
article deals with the contemplated introduction of a European financial
transaction tax in only 11 of the 27 Member States through enhanced
cooperation.
The New Tax Treatment of EU/EEA Investment Funds between Solved Issues and Persistent Breaches of EU Law
Authors: De Lillo F.
Published: December 2023

This article illustrates and critically assesses the new tax rules applicable to EU/EEA resident investment funds introduced by the Italian Budget Law for 2021 to comply with EU law obligations and incentivize foreign private equity investment in Italy.
Transfer Pricing on Intra-Group Financing in the Manufacturing Industry in Indonesia – An Essay on Tax Court Decisions (2014-2019)
Authors: Tambunan M.R.U.D. , Rosdiana H. , Irianto E.S.
Published: December 2023

The manufacturing industry has become the leading sector in Indonesia but also the most common source of transfer pricing disputes. The excessive payment of interest expenses that has caused the MNEs to suffer from years of consecutive losses remains questionable, compounded by the illogical debt-to-equity ratio. The Indonesian government formally introduced a set debt-to-equity ratio in 2016 for the second time. Its first introduction in 1983 was revoked in 1984 in a bid to attract foreign investors. Currently, an entity has to meet the enforced Indonesian anti-abuse rule, arm’s length principle and debt-to-equity ratio.
Recent Developments in Thin Capitalization Rules: A Cloud with a Clear Silver Lining
Authors: Verlinden I. , Ledure D. , Horemans M.
Published: December 2023

Belgium recently introduced a general thin capitalization rule, which is applicable as from 1 July 2012. This article provides an overview of the new legislation and touches briefly on how the thin capitalization rules in Belgium compare to those in other European countries.
The New European Union-Norway Agreement on Administrative Cooperation in the Field of VAT and Other Taxes
Authors: De Troyer I.
Published: December 2023

On 1 September 2018, a new agreement between the European Union and Norway on administrative cooperation, combating fraud and recovery of claims in the field of VAT entered into force. In principle, the scope of this agreement is limited to VAT related claims. Cooperation under the agreement, however, may also assist in the determination and recovery of other taxes. This note provides a comprehensive analysis of the agreement.
Income Tax Amendments in Poland: New Thin Cap Rules Effective 1 January 2015
Authors: Kopec A. , Jamroży M.
Published: December 2023

This note discusses the new Polish thin capitalization rules. The authors critically analyse the tax changes and highlight the practical limitations and possible implications of the new legal regulations on the tax deductibility of interest.
Does a Partial Transfer of the Dividend-Received Deduction upon a Tax-Neutral Merger Violate the EU Parent-Subsidiary Directive?
Authors: Wouters P-J.
Published: December 2023

According to the ECJ, the Belgian practice of limiting the amount of carried forward dividend received deduction (DRD), upon a tax neutral merger, is compatible with the EU Parent-Subsidiary Directive (2011/96). This is the first case regarding the Belgian participation exemption that has been decided in favour of the Belgian tax authorities. As questions remain on other aspects of the Belgian tax legislation, this might not be the ECJ’s final word on the DRD.
Operating Expenses in the Event of a Failed Start of a Permanent
Establishment with Real Estate in the European Union
Authors: Cloer A. , Conrath A. (Annemarie) , Vogel N.
Published: December 2023

This note outlines recent case law from German (lower) fiscal courts
with respect to final cross-border losses that are generated due to a failure
to establish a business unit abroad.
Dealing with Debt
Authors: Bhatia P.
Published: December 2023

This article is based on a comparative survey presented at the 2009 Baker & McKenzie Annual Asia-Pacific Tax Conference and provides a broad overview of the tax consequences arising from the sale, transfer, etc. of debt.
Should Outbound
Dividends Remain Taxed at Source in the European Union? Some Hints from the
Italian Example
Authors: Magliocco Antonella , Sanelli Alessandra
Published: December 2023

This article analyses the taxation of cross-border dividends,
particularly withholding taxes applied in source countries. It examines the
determinants of the continued existence of this taxation in stark contrast to
the dismantling of taxation at source on outbound interest. Possible future
developments are examined, using recent Italian tax changes as a case study,
particularly in the European Union, where several factors seem to support the
gradual elimination of portfolio dividend withholding taxes.
Marketplaces’ Tax Liability: Recent Developments in Brazil
Authors: Barros M.
Published: December 2023

In this article, the author deals with tax liability of marketplaces in Brazil, focusing on the indirect tax charged by Brazilian states (ICMS), and its relation with the recommendations presented by the OECD and the European Union and with the other Brazilian rules, to conclude that the states’ legislation is not compatible with the Brazilian Constitution and with federal ICMS legislation. The author also briefly discusses the responsibility of marketplaces within the scope of a bill that intends to institute a federal VAT in Brazil.
Report of the Proceedings of the Sixth Assembly of the International Association of Tax Judges Held on 4 and 5 September 2015
Authors: Rickenbacher-Omlin Z.
Published: December 2023

This report summarizes the proceedings of the Sixth Assembly of the International Association of Tax Judges, held in Lucerne, Switzerland on 4 and 5 September 2015.
Comprehensive Directive on Transfer Pricing Adopted
Authors: Cooper J.L. , Volpato M.
Published: December 2023

This article presents an outline of the legal framework for transfer pricing in Ethiopia, in light of the recently introduced Directive 43/2015.
Court Denies Tax Treaty Benefits to Long Borrower of Swiss Shares
Authors: Reinarz P.
Published: December 2023

The Swiss Federal Administrative Court upheld a decision by the Federal Tax Administration to reject the tax treaty-based partial refund claims of a Luxembourg resident financial institution for Swiss withholding tax on dividends paid on stock exchange-listed Swiss shares, which Lux Bank had borrowed from an affiliated financial institution resident in the United Kingdom.
Manufacturing and Trading Incentives – Where Do We Stand Now in Asia?
Authors: Leow E. , Wong J.H.M. , Ke Z-X.
Published: December 2023

This article is based on a comparative survey presented at the 2009 Baker & McKenzie Annual Asia-Pacific Tax Conference and provides an overview of the available tax incentives.
Cyberassets, Digital Currencies and Their Regulation
Authors: Joseph A.
Published: December 2023

Blockchain and related technology, while providing a versatile opportunity for financial innovation, also carries with it myriad avenues for deception. In the midst of government reluctance to step into this space and issue state-backed cryptoassets, it is imperative that effective regulations be put in place by legislation.
The New Tax Regime for Inbound Workers
Authors: Ronca P. , Bracchi A. , Barcellona M.
Published: December 2023

In this note, the authors explain the significant changes being made to the tax regime for inbound workers, which are expected to take effect 1 January 2024.
Tax Treatment of
Business Bad Debts – The Example of Slovenia
Authors: Marjan Odar Dr
Published: December 2023

In this note, the author considers the implications of the new tax law
proposals in Liechtenstein, which, it is anticipated, will generally apply from
2010.
Does Switzerland Really Need a Tonnage Tax?
Authors: Gartenmann M. , Burg P. von
Published: December 2023

While tonnage taxes are not new to Europe, it is odd to see such a tax regime proposed for a landlocked country not known as a seafaring nation. Nonetheless, some have suggested that Switzerland adopt a tonnage tax. Peter von Burg and Matthias Gartenmann dissect the recently proposed Swiss tonnage tax and discuss whether it complies with the Constitution and, if so, whether it makes for good tax policy.
Transfer Pricing Regimes for Developing Countries
Authors: Hofmann P. , Riedel N.
Published: December 2023

The authors, in this article, discuss challenges in designing and administering transfer pricing regimes in less developed countries and outline administrative and policy options to address these issues.
Transfer Pricing and Mutual Agreement Procedures
Authors: Klok B. van der , Elshof T.
Published: December 2023

The recently issued
Decree on the Mutual Agreement Procedure and the inclusion of a revised
arbitration clause in the new tax treaty with the United Kingdom clearly
demonstrate the importance given by the Netherlands to solving transfer pricing
discussions.
UBO Register after ECJ’s Preliminary Ruling
Authors: Snijder-Kuipers B. , Pellegrin G. , Foucher G. de , Savigliano A. , Schmies C. , Locmele K. , Bradley E. (Emily) , Velez M. , Nunes R. Cardoso
Published: December 2023

On the basis of EU law, each legal entity has one or more ultimate beneficial owners (UBOs). An UBO is always an individual. An individual having more than 25% of the shares, more than 25% of the voting rights more than 25% of the economic benefit or has control in a legal entity, qualifies as UBO. Every EU Member State has its own national UBO register for legal entities. These national UBO registers were open to the public. This article deals with the ruling of the Court of Justice of the European Union (ECJ) to prohibit unrestricted access to the UBO register to the public. EU Member States are obliged to amend national legislation accordingly. This article also provides an overview of the consequences of the ECJ’s ruling in France, Germany, Italy, the Netherlands, Portugal, Spain and the United Kingdom.
Action 14 of the OECD/G20 Base Erosion and Profit Shifting Initiative: Making Dispute Resolution More Effective – Did Action 14 “Piggyback” on the Initiative?
Authors: Oliveira P. Toledo Pires de
Published: December 2023

This article examines Action 14 of the OECD/G20 Base Erosion and Profit Shifting (BEPS) initiative with regard to making dispute resolution more effective in respect of mutual agreement procedures and whether Action 14 is an integral part of the BEPS Action Plan or has simply been tacked onto the initiative.
Hybrid Mismatch Arrangements: OECD Recommendations and German Practice
Authors: Bärsch S. , Spengel C.
Published: December 2023

Against the background of the various recent OECD reports on base erosion and profit shifting, the authors investigate the tax classifications of financial instruments and entities in selected EU Member States and OECD member countries, and examine German tax rules that deal with the consequences of different tax classifications.
Supreme Court Case on the Denial of Access to the Arbitration Convention
Authors: Beretta G.
Published: December 2023

The author considers a landmark decision rendered by the United Sections of the Italian Supreme Court which grants a taxpayer access to domestic legal remedies where the taxpayer’s request for opening a mutual agreement procedure under the Arbitration Convention is denied by the competent tax authority.
The SGI Case: ECJ Approves Belgian System of Selective Profit Corrections in Relation to Foreign Group Companies
Authors: Meussen G.T.K.
Published: December 2023

On 21 January 2010, the European Court of Justice gave its judgment in the Belgian SGI case, which concerns the compatibility with the freedom of establishment of selective profit corrections in regard to related companies resident in other Member States. A key element of the decision is the division of the burden of proof in assessing the presumed profit corrections by the tax administration.
A Closer Look at the European Commission Proposal for Harmonized Rules for Transfer Pricing
Authors: Mulder Q. , Steenbergen J. , Dam H. van , Kunen J-W
Published: December 2023

In this article, the authors provide the background and objection of the EU TP Directive, and analyse the proposal and its position in respect of other international tax developments. They conclude that the TP Directive is expected to increase tax certainty for taxpayers across the European Union, as the CJEU would become the court of highest instance for the application of the arm’s length principle. Unfortunately it will take substantial time to reach the increased certainty.
Corporate Loss Utilization through Aggressive Tax Planning
Authors: Raunio M.
Published: December 2023

Global corporate losses have increased significantly in recent years. Where the resulting loss carry-forwards cannot regularly be utilized by taxpayers, it may happen that some of them look for loopholes and develop aggressive tax planning techniques in order to deploy the use of the losses in tax planning. For this Comparative Survey, the authors look into corporate loss utilization and present a description and analysis of the situation in their country. Country report on Finland.
Tax Considerations for M&A Transactions and Restructurings in Switzerland
Authors: Brauchli Rohrer B.
Published: December 2023

This article details the principal tax considerations relevant for M&A transactions and restructurings in Switzerland. It explains the main reorganization schemes and their Swiss tax consequences, as well as the differences between asset deals and share deals from a Swiss tax point of view.
Dutch CV-BV Structures: Starbucks-Style Tax Planning and State Aid Rules
Authors: Vleggeert J.
Published: December 2023

This article comments on Dutch CV-BV structures and investigates whether the fact that the Netherlands does not tax earnings channelled into a CV may be considered unlawful State aid.
The Proportionality Principle under EU Tax Law: General and Practical Problems Caused by Its Extensive Application – Part 1
Authors: Freyer D.
Published: December 2023

This article analyses how the ECJ applies the proportionality principle in respect of direct taxation, as well as the consequences flowing therefrom. Part 1 addresses the proportionality principle and its application by the ECJ, while Part 2, to be published in European Taxation 10 (2017), covers the impact of the proportionality principle on justifications and the sovereignty of Member States in direct tax matters, as well as the consequences of the ECJ’s approach towards proportionality.
Encouraging Research and Development (and Innovation) in the Spanish Tax System
Authors: Soler Roch M.T. , Gil García E.
Published: December 2023

This article examines the tax system for research and development (and innovation) (R&D (&I)) in Spain. Generally, the Spanish tax system encourages R&D (&I) by granting a wide range of incentives with regard to R&D (&I), as companies may benefit from input and output incentives in respect of such activities.
Taxpayers’ Rights before Administrative Courts
Authors: Dominik-Ogińska D.
Published: December 2023

This article outlines some of the issues that taxpayers may face when appearing before tax courts in Poland.
An Analysis of the Rules on the Taxation of Investment Income under Japan’s Tax Treaties
Authors: Kimura H.
Published: December 2023

The author, in this article, analyses the rules on the taxation of investment income under the tax treaties that Japan has concluded, focusing specifically on the development of Japan’s treaty policy over the years and its deviations from the OECD Model.
Repatriation in Lieu of Secondary Adjustments
Authors: McCart J. , Rowe E. , Amini G.
Published: December 2023

This article considers repatriation in the Canadian context, including the administrative procedures and mechanics that are followed, the implementation of a repatriation, and some tertiary issues that may arise for Canadian (and foreign) taxpayers in structuring a repatriation.
Exchange-Traded Funds and VAT: A Happy Marriage?
Authors: Zutt J. , Wal S. van der
Published: December 2023

The authors explore the VAT status of exchange-traded funds, as well as the VAT treatment of services purchased by such funds.
Casenote – High Court Reverses Federal Court’s Decision To Apply
Anti-Avoidance Provisions to Hybrid Securities
Authors: Butler M. , Pengelly J. , White L.
Published: December 2023

This casenote analyses the recent decision in Mills v.
Commissioner of Taxation, where the Australian High Court held that
specific anti-avoidance rules did not apply to cancel dividend franking credits
otherwise available to the taxpayer and 33,000 other investors.
Economic Substance versus Legal Form: Financial Transactions as Taxable
Events
Authors: Tang J.
Published: December 2023

The author provides an in-depth analysis of whether economic substance
should be the general principle applied to tax financial transactions,
including consideration of the approaches suggested by tax scholars and some
tax authorities around the world.
Concept of Pass-Through Costs and Their Treatment
Authors: Bilaney S.K.
Published: December 2023

The author analyses the concept of pass-through costs based on guidance from the OECD Transfer Pricing Guidelines, the UN Transfer Pricing Manual and transfer pricing rulings. Furthermore, this article contains a discussion on the treatment of pass-through costs from a transfer pricing perspective.
2014 One-Off Levy Related to Nationalization of SNS Reaal
Authors: Danenberg S.
Published: December 2023

This article provides an overview of the one-off 2014 levy which has been introduced in Dutch tax law in connection with the nationalization of SNS Reaal. In addition, the measures that could be taken under the resolution as part of the proposed EU Recovery and Resolution Directive are discussed on a high level.