The parent company and its subsidiaries form a tax group when both are resident juridical persons following the same accounting standards and financial year. The parent company must have at least 95% ownership of the subsidiary’s share capital and voting rights and a similar percentage of profits and net assets’ entitlement.
The parent company in the Group of companies is responsible for preparing the consolidated financial accounts. These consolidated accounts must include every subsidiary’s data for the relevant tax period for which it was a member of the tax group.