EU tax news archive


 Issue 2008: nr.006


Download Issue 2008: nr.006: September - October 2008 (567kb)

ECJ cases

  • Belgium ECJ judgment on Flemish inheritance tax: Eckelkamp case
  • Belgium ECJ referral on Belgian anti-abuse provision concerning abnormal and gratuitous benefits: Société de Gestion Industrielle case
  • Belgium ECJ referral on Belgian taxation of inbound dividends: Commission vs. Belgium case
  • Belgium AG Opinion on Belgian withholding tax on interest payments to non-resident companies: Truck Center case
  • France AG Opinion on the French tax group regime: Société Papillon case
  • Germany AG Opinion on deduction of donations to foreign charities: Persche case
  • Germany ECJ judgment on German rules on evaluation of participations in domestic and foreign partnerships: Heinrich Bauer Verlag Beteiligungs GmbH case
  • Germany ECJ judgment on the deductibility of foreign PE losses: Krankenheim-Ruhesitz case
  • Italy ECJ referrals on the Italian withholding tax rules on the dividend adjustment: Ferrero e C. Spa case and General Beverage Europe B.V. case
  • Netherlands ECJ judgment on Dutch inheritance tax: Arens-Sikken case
  • Netherlands ECJ judgment on Dutch refusal of taking into account negative rental income relating to immovable property located in another Member State: Renneberg case
  • Spain ECJ judgment on Basque corporate tax measures: Unión General de Trabajadores de la Rioja (joined cases)

National developments

  • Denmark Danish National Tax Tribunal: Different treatment of income under Danish thin capitalisation rules depending on the residence of the debtor
  • Finland Amendments proposed to the legislation on withholding taxation of Finnish source dividends
  • Finland Central Tax Board rules that tax neutral exchange of shares is possible between Finnish and Norwegian companies
  • France Court of Appeal rules that French CFC legislation applicable to French resident individuals is not compatible with EC Law
  • Germany Federal Tax Court on asset transfer to EU permanent establishments
  • Germany Federal Tax Court decision following the ECJ judgment in Schwarz/Gootjes-Schwarz
  • Greece Grreece amends taxation rules on inbound and outbound dividends
  • Netherlands Supreme Court rules that free movement of capital from and towards third countries is not applicable in case of majority shareholdings
  • Netherlands Supreme Court rules that ‘most favoured nation treatment’ is not required for tax sparing credits
  • Netherlands Supreme Court rules that a currency loss on a loan connected to a minority participation in a third country company is deductible under Article 56 EC
  • Netherlands Supreme Court announces preliminary question on the effect of optional residency status
  • Portugal Changes to Portuguese legislation concerning its discriminatory taxation of lottery winnings
  • Portugal Proposed State Budget for 2009
  • UK Changes proposed to "late paid interest rule", currently in breach of EC Treaty

EU developments

  • Estonia European Commission requests Estonia to amend discriminatory taxation of pensions paid to non-residents
  • Ireland European Commission requests Ireland to amend its discriminatory tax provisions in relation to the taxation of Savings Certificates and certain Government, State-Issued and State-Guaranteed Securities
  • Greece European Commission requests Greece to amend its discriminatory tax provisions applicable to the acquisition of a first residential real estate in Greece
  • Portugal European Commission requests Portugal to end discriminatory taxation of foreign services providers
  • Spain European Commission requests Spain to change discriminatory taxation of non-resident individuals and restrictive exit taxes
  • Sweden European Commission requests Sweden to amend its restrictive company exit charge tax rules
  • UK European Commission calls on UK to implement ECJ decision on cross-border loss relief

State aid

  • France ECJ rules that France has failed to fulfil its obligations under EC Law to recover illegal State aid
  • Gibraltar European Court of First Instance annuls European Commission Decision according to which the proposed reform of corporation tax in Gibraltar is unlawful State aid
  • Italy New rules for recovery of State aid granted to Italian utilities with a majority public capital holding

 Issue 2008: nr.005


Download Issue 2008: nr.005: July - August 2008 (323kb)

ECJ cases

  • Belgium AG opinion on ownership under the Parent-Subsidiary Directive: Les Vergers du Vieux Tauves Case
  • Germany ECJ referral on withholding tax on outbound dividends: Gaz de France Case
  • Netherlands ECJ referral on cross-border fiscal unity

National developments

  • Austria Administrative High Court decision on taxation of inbound portfolio dividends
  • Finland Amendment of the Finnish CFC legislation in order to meet the requirements of EC law
  • Germany Recent legislative developments regarding the treatment of losses from EU/EEA countries
  • Germany Case pending with the German Federal Constitutional Court regarding denial of interest on refund of withholding tax
  • Hungary Film Incentive Scheme Amended
  • Netherlands Dutch Supreme Court: Dutch withholding tax on dividends paid by a Dutch ‘dividend mixer company’ to a UK holding company restricts freedom of establishment
  • Romania Romania amends fiscal code provisions affecting taxation of outbound dividends to companies resident in Liechtenstein, Iceland and Norway
  • Spain Government submits bill to parliament to comply with ECJ judgment on R&DT innovation tax credit scheme
  • UK High Court decision in Vodafone 2 v Commissioners of HMRC disapplying the UK CFC legislation

EU developments

  • Germany European Commission formally requests Germany to apply the ECJ "Volkswagen" judgment ("golden shares")

CCCTB - Common consolidated corporate tax base

  • EU European Commission’s proposal for CCCTB delayed

State aid

  • Italy Enactment of law for the recovery of unlawful State aid granted to certain banks for the tax recognition of their hidden capital gains

 Issue 2008: nr.004


Download Issue 2008: nr.004: May - June 2008 (445kb)

ECJ cases

  • Belgium ECJ judgment on Belgian obligations regarding the implementation of the Merger Directive
  • Belgium AG opinion on Belgian application of the Parent subsidiary Directive: Cobelfret case
  • Estonia ECJ referral on Estonian withholding tax on outbound dividend payments
  • Germany ECJ judgment on German corporate tax uplift under the former imputation system: Burda case
  • Germany ECJ judgment on German tax treatment of foreign losses: Lidl Belgium case
  • Hungary AG opinion on transfer of the real seat by a company registered in Hungary to another EU Member State: Cartesio case
  • Netherlands ECJ judgment on Dutch credit of foreign dividend withholding tax: Orange European Smallcap Fund NV
  • Spain ECJ referral on Spanish winnings tax rules

National developments

  • Finland Central Tax Board judgment on Finnish withholding tax on cross-border portfolio dividends
  • France Administrative Court of Appeal judgment on French withholding tax due by foreign pension funds on capital gains
  • Germany Federal Tax Court judgment on the applicable tax rate on profits derived from a German PE
  • Germany Lower Finance Court expresses serious doubts concerning exit taxation in the case of cross border movements of individuals with shareholdings
  • Italy Italy implemented Merger Directive 2005/56/EC
  • Netherlands AG opinion on discriminatory tax treatment of the acquisition of shares by third country residents PwC EU Tax News 1
  • Norway EFTA Court judgment on Norwegian tax rules on maximum credit allowance: Seabrokers case

EU developments

  • Denmark European Commission requests Denmark to change tax measures discriminating against income from foreign-based investment funds
  • Czech Republic, Italy European Commission formally requests the Czech Republic and Italy to end discriminatory taxation of foreign pension funds
  • Spain, Portugal European Commission takes steps against Spain and Portugal regarding their discriminatory taxation of dividends paid to foreign pension funds
  • Portugal European Commission requests Portugal to end discriminatory rules against non-resident taxpayers
  • Bulgaria, Romania European Commission requests Bulgaria and Romania to end their discriminatory taxation of dividends and closes case against Luxembourg

CCCTB - common consolidated corporate tax base

State aid

  • Italy European Commission opens formal State aid investigation into 300m Euro granted by the Italian State to Alitalia
  • Italy European Commission opens formal State aid investigation into the Italian tax relief measures in favour of the cooperatives operating in the banking, retail and distribution services sectors
  • Italy ECJ referrals on the Italian tax relief measures granted to cooperatives
  • Spain AG opinion on Basque tax measures and classification as State aid: UGT- Rioja case

 Issue 2008: nr.003


Download Issue 2008: nr.003: March - April 2008 (438kb)

ECJ cases

  • Belgium: ECJ referral on tax treatment of French-source dividends
  • Belgium: ECJ referral on dividends-received deduction regime
  • Belgium: AG opinion on compatibility with EC Law of Belgian rules on the nondeductibility of debts from inheritance tax base if testator was resident abroad: Hans Eckelkamp and Others v Belgian State case
  • Germany: ECJ referral on anti-abuse rules under the former German imputation system: Glaxo Wellcome case
  • Germany: ECJ referral concerning double taxation rules: Block case
  • Germany: ECJ referral on limited deductibility of foreign rental losses and the nonapplication of declining depreciation for buildings located abroad: Busley/Cibrian case
  • Netherlands: ECJ referral on extended statutory time limit for issuing an additional tax assessment for foreign income
  • Poland: ECJ referral concerning non deduction of health premiums
  • Portugal: ECJ referral on discriminatory taxation against foreign banks
  • Spain: ECJ referral on (former) capital gains tax rules
  • Spain: ECJ judgment on R&DT innovation tax credit scheme UK ECJ Order on CFC and dividend group litigation issues

National developments

  • Finland: Supreme Administrative Court decision on withholding liability on Finnish source dividend paid to non-resident individual
  • Finland: Supreme Administrative Court confirms earlier ECJ decision on the consistency of Finnish transfer tax with the Capital Duty Directive (C-240/06,Fortum Project Finance)
  • Germany: Germany - Case pending with the Federal Tax Court regarding exit tax on goodwill
  • Germany: Case pending with the Federal Tax Court regarding withholding tax on outbound dividends
  • Germany: Case pending with the Federal Tax Court regarding capital gains taxation upon migration
  • Germany: Case pending with the Federal Tax Court on imputed interest on an interest free loan
  • Germany: Lower court judgment on rules on the adding back of interest payments to the tax base
  • Italy: Tax Authorities’ Resolution on the application of Tax Treaties for pension funds and investment funds
  • Netherlands: Supreme Court judgment on recognition of foreign charitable institutions
  • Netherlands: Lower court circumvention of the question of whether the exit tax is compatible with the freedom of establishment
  • Norway: New interpretative statements from the Directorates of Taxes regarding investment funds resident within the EEA and the tax exemption method
  • Poland: Lower court judgment on taxation of interest earned by EU-based investment funds
  • Sweden: Supreme Court judgment on exit charge

EU developments

  • Estonia: Estonia amends discriminatory legislation regarding the taxation of dividends paid to foreign pension funds
  • Hungary: European Commission requests Hungary to end discriminative tax incentives for research and development
  • Portugal: European Commission requests Portugal to end discriminatory taxation against investments held outside Portugal
  • EU Parliament: EU Parliament issues report on impact of ECJ cases in field of direct tax

CCCTB - common consolidated corporate tax base

Update on two new Commission Working Papers on anti-abuse and various detailed aspects of the CCCTB

State aid

  • Italy: European Commission decides that the 2003 Italian tax scheme on the recognition of hidden capital gains of privatised banks constitutes State aid
  • Italy: European Commission refers Italy to the ECJ for failure to recover a State aid in favour of companies participating in trade fairs abroad
  • Switzerland and EU: Update on EU-Swiss dialogue on disputed Swiss company tax regimes

 Issue 2008: nr.002


Download Issue 2008: nr.002: January - February 2008 (383kb)

ECJ cases

  • Belgium: ECJ judgment on the recharacterisation of interests as dividends: Lammers & Van Cleeff case
  • France: A-G opinion on the compatibility of the French tax code with the EU’s parent-subsidiary directive: Banque Fédérative du Crédit Mutuel case
  • Germany: A-G opinion on whether a German tax uplift is allowed under the parent-subsidiary directive or an infringement of the EC Treaty: Burda case
  • Germany: A-G opinion on compatibility with EC Law of German denial to offset foreign PE losses with domestic profits if foreign PE income is exempted by a double tax treaty: Lidl Belgium case
  • Germany: ECJ judgment on non-deductibility of currency losses from foreign exempt PEs restricts the freedom of establishment: Deutsche Shell case
  • Germany: ECJ judgment on compatibility with EC Law of German inheritance tax and valuation provisions relating to foreign and domestic agricultural land: Jaeger case
  • Portugal: EC referral to the ECJ on discriminatory Portuguese tax amnesty legislation

National developments

  • Belgium: Court of First Instance of Brussels confirms Belgian tax treatment of pension capital is discriminatory
  • Belgium: Hearing in referral regarding the Belgian participation exemption
  • Germany: Amendments to the taxation of foreign family foundations
  • Hungary: Supreme Court confirms that EC law has direct effect and takes precedence over national law in the case of non-compliant locallegislation
  • Netherlands: Supreme Court rules that the non-deductibility of costs relating to lower tier subsidiaries in third countries held through EU intermediate subsidiaries is compatible with the freedom of establishment PwC EU Tax News 2
  • Netherlands: District Court rules that the refusal to extend Dutch fiscal unity to cross-border situations is not contrary to the freedom of establishment
  • Netherlands: District Court of The Hague refunds withholding tax on payments to a foreign football organisation
  • Portugal: Supreme Administrative Court follows the ECJ’s Hollman ruling
  • Portugal: Tax reductions for the free zone of Madeira for the period 2007-2020
  • Sweden: Swedish Advance Ruling Board rules that Swedish group relief system is not compatible with EC Law

EU developments

  • Estonia and Germany: European Commission starts infringement proceedings regarding the taxation of dividends paid to foreign pension fund
  • Germany: European Commission formally requests Germany to end its discriminatory rules applied to non-resident taxpayers - mainly artists, sportsmen and journalists
  • Germany: European Commission formally requests Germany to end its discriminatory depreciation rules applied to buildings situated abroad
  • Italy: European Commission refers Italy to ECJ over discriminatory taxation of outbound dividends
  • Latvia: European Commission takes steps against Latvia regarding its discriminatory taxation of dividends paid to non-resident individuals
  • Lithuania: European Commission takes steps against Lithuania regarding its discriminatory taxation of outbound interest
  • Spain: European Commission sends Spain a formal request to amend its discriminatory anti-abuse rules in the Corporate Income Tax
  • Switzerland: and EU Update on bilateral dialogue on disputed Swiss company tax regimes

CCCTB - common consolidated corporate tax base

Update on release of two new Commission Working Papers (WP 63 and 64) and other items

State aid

  • Italy: European Commission authorises State aid for development of Italy’s southern regions
  • Spain: European Commission authorises Spanish corporate tax deduction aimed at promoting R&D

 Issue 2008: nr.001


Download Issue 2008: nr.001: November - December 2007 (402kb)

ECJ cases

  • Austria: Preliminary ruling request regarding conditions for claiming Austrian investment growth premium
  • Germany: ECJ judgement on transitional rules for capital gains tax on domestic and foreign participations: Gronfeldt and Gronfeldt case
  • Germany: ECJ order regarding Third State branch losses: Stahlwerk Ergste Westig (SEW) case
  • Germany: AG opinion in the Heinrich Bauer Verlag Beteiligungs GmbH case
  • Germany: ECJ judgement on the compatibility with EC Law of switching from exemption method to credit method: Columbus Container Services case
  • Germany: AG opinion on the non-deductibility of foreign currency losses: Deutsche Shell case
  • Germany: ECJ judgement on tax allowance for teaching at a foreign university: Jundt case
  • Italy: ECJ decision on Italian -golden share- rules: AEM S.p.A. case
  • Netherlands: ECJ judgement on the incompatibility of the Dutch dividend withholding tax on outbound dividends with the free movement of capital: Amurta case
  • Sweden: ECJ judgement clarifying further the concept of free movement of capital to and from third countries: A case

National developments

  • Belgium: Belgian rules for compensation of losses with profits of non-EU permanent establishments considered as discriminatory by Brussels Court of first instance
  • Estonia: Proposed amendments to bring the law in line with the Parent-Subsidiary Directive
  • Estonia: Amendment to corporate income tax law concerning outbound dividends and royalties
  • Finland: Supreme Administrative Court decisions: even in the case of ‘final losses’ no cross-border group contribution possible
  • Germany: Federal Finance Court has no serious doubts concerning withholding taxes despite the ECJ’s decision in the Scorpio case
  • Ireland: Irish extension of the remittance basis of taxation to UK source income
  • Italy: Financial Bill for 2008 amends the Italian legislation on outbound dividends and CFC rules
  • Netherlands: Supreme Court refunds Dutch dividend withholding tax to a Luxembourg parent company on the basis of Article 56 EC
  • Portugal: Changes in legislation concerning capital gains exemption regarding the sale of owner-occupied dwellings
  • Portugal: Tax reductions for the free zone of Madeira for the period 2007-2020
  • Portugal: State Budget for 2008

EU developments

  • EU: Update on the Common Consolidated Corporate Tax Base (CCCTB)
  • EU: European Commission calls for more targeted and better coordinated application of Member States' anti-abuse rules
  • Belgium: European Commission amends transitional regime for Belgian coordination centres
  • France: European Commission starts formal State aid investigation into French plan to grant tax aid to insurers selling specific solidarity policies
  • Spain: European Commission adopts formal decision to start EU State aid inquiry against Spain regarding financial goodwill amortisation and invites interested parties to submit comments
  • Switzerland and EU: Update on bilateral dialogue on disputed Swiss company tax regimes

 Issue 2007: nr.006


Download Issue 2007: nr.006: September - October 2007 (261kb)

ECJ cases

  • Belgium: ECJ judgment on Flemish inheritance tax relief for participations in family companies: Geurts and Vogten case
  • Belgium: ECJ referral on the Belgian dividends-received deduction regime
  • Finland: ECJ judgment on Finnish transfer tax: Fortum Project Finance case
  • France: ECJ judgement on the French 3% tax on real estate held by non-residents: Elisa case
  • Germany: ECJ judgments on German tax deduction for fees to foreign schools: Schwarz / Gootjes-Schwarz case and Commission vs. Germany case
  • Germany: A-G Opinion on German valuation and allowance rules for agricultural land and forestry for inheritance tax purposes: Theodor Jaeger v. Finanzamt Kusel-Landstuhl case
  • Germany: A-G opinion on tax exemption for teaching at a foreign university: Jundt case
  • Hungary: ECJ judgment on the Hungarian local business tax: Kögáz case
  • Italy: ECJ judgment on taxation of EC contributions: Porto Antico di Genova case
  • Netherlands: European Court of First Instance judgment on transitional period for Dutch regime on group financing activities: Friesland Foods case
  • Portugal: ECJ judgment on Portuguese tax treatment of capital gains: Hollman case
  • Sweden: A-G opinion on the Swedish rules on taxation of dividend distributed as shares in a subsidiary: A case

National developments

  • Finland: Advance Ruling of the Central Tax Board concerning taxation of cross-border merger between companies resident in Finland and in an EEA State
  • Finland: Government bill on amendments to corporate tax legislation to meet the requirements of Directive 2005/56/EC on cross-border mergers of limited liability companies
  • Germany: Federal Finance Court rejects the appeal in the Scorpio case
  • Italy: Amendment of the Italian tax legislation concerning outbound dividends
  • Luxembourg: Draft bill amending the law implementing the Savings Directive
  • Norway: Tax exemption method and refund of withholding tax imposed on dividends
  • Portugal: Proposed State Budget for 2008
  • UK: Implementation of Directive 2005/56/EC on cross-border mergers of limited liability companies
  • UK:Vodafone appeals decision of Special Commissioners

EU developments

  • EU: European Commission issues progress report on probable elements of the proposed Common Consolidated Corporate Tax Base
  • Germany: European Commission opens infringement proceedings against Germany for its discriminatory rules applied to cross-border loss offset
  • Greece: Draft law regarding the recovery of illegal tax exemptions (State aid) introduced before Greek Parliament
  • Italy: European Commission authorises adoption by Italy of the “cuneo fiscale” regional tax reduction measure
  • Spain: European Commission opens State Aid inquiry into Spanish financial goodwill amortisation

 Issue 2007: nr.005


Download Issue 2007: nr.005: July - August 2007 (260kb)

ECJ cases

  • Belgium: ECJ referral regarding withholding tax on interest paid by a Belgian company to a Luxembourg company: Belgian State v Truck Center SA case
  • Belgium: ECJ judgment on the discriminatory tax treatment of foreign insurance undertakings contributions: Commission v Belgium case
  • Denmark: ECJ judgment on tax evasion and the distribution of dividends shortly after a tax-exempt exchange of shares: Hans Markus Kofoed v Skatteministeriet case
  • Finland: ECJ judgment on the compatibility of the Finnish group contribution regime with the EC Treaty: Oy AA case
  • France: ECJ referral on the compatibility of the French group taxation regime with the EC Treaty: Société Papillon case
  • Germany: ECJ referral on the non-deductibility of write-downs in foreign shareholding in 2001: Steko Industriemontage case
  • Italy: ECJ judgment on the application of the principle of res judicata: Lucchini case
  • Luxembourg : ECJ judgment on negative foreign rental income to be taken into account in the state of employment: Lakebrink case
  • Netherlands: AG opinion on dividend withholding tax: Orange European Smallcap Fund NV case

National developments

  • France: Additional administrative guidelines regarding the consequences of ECJ’s Denkavit decision on French dividend withholding tax
  • Germany: Non-deductibility of loss attributable to foreign income pending with the German Supreme Tax Court (I R 16/07)
  • Netherlands: AG advises to refer Dutch fiscal unity case to the ECJ
  • Norway: Lower court judgment in the Fokus Bank
  • Poland: Exemption from real estate tax for investors
  • UK: Sempra Metals Limited v Inland Revenue Commissioners and another: House of Lords awards compound interest
  • UK: Vodafone 2 v The Commissioners of Her Majesty's Revenue and Customs: Referral to ECJ to be withdrawn

EU developments

  • Finland, Italy: European Commission opens infringement proceedings against Finland and Italy over discriminatory taxation of dividend and interest payments to foreign EU pension funds
  • Germany: European Commission requests Germany to change discriminatory rules concerning foreign family foundations
  • Germany: European Commission refers Germany to ECJ over pension allowance
  • Germany: European Commission investigates German dividend taxation
  • Greece : European Commission refers Greece to the ECJ due to the discriminatory taxation of non-Greek partnerships
  • Greece: European Commission refers Greece to the ECJ due to discriminatory taxation of dividends from foreign companies
  • Greece: European Commission requires Greece to recover illegal tax exemptions (State aid)
  • Poland: Polish Government announces amendments to discriminatory rules regarding the taxation of dividend and interest payments to foreign EU pension funds
  • Sweden: European Commission opens new infringement procedure against Sweden over rules on capital gains tax relief on dwelling sales
  • Sweden: European Commission to Sweden regarding the rules on tax deductions for non-residents
  • UK: European Commission sends formal notice to UK regarding cross-border loss relief

 Issue 2007: nr.004


Download Issue 2007: nr.004: May - June 2007 (304kb)

ECJ Cases


  • Austria: ECJ judgment on Austrian taxation of dividends from third countries: Holböck case
  • Finland: ECJ referral on Finnish withholding taxation on dividends paid by a Finnish company to a Luxembourg SICAV
  • Germany: A-G Opinion on German State granted subsidy for self-occupied houses in Germany: Commission v Germany case
  • Germany: ECJ order on the applicability of Article 56 EC to German thin cap rules: Lasertec case
  • Germany: ECJ referral on German requirement of book value attribution in cross-border exchange of shares: Ernst & Young case
  • Germany: Referral to the ECJ on non-deductibility of donations in kind to foreign charities: Persche case
  • Italy: A-G Opinion on Italian taxation of EC contributions: Porto Antico di Genova case
  • Netherlands: A-G Opinion on Dutch withholding tax treatment of outbound dividends: Amurta SGPS case
  • Sweden: ECJ order on compatibility with EC Law of Swedish legislation on dividend tax relief in relations with third countries: Skatteverket v. A and B case

National developments


  • Estonia: Administrative Court judgment on dividend payments to EU investment funds
  • France: New guidelines for French dividend withholding tax after the ECJ judgment in the Denkavit case
  • Germany: Ministry of Finance decree on German withholding tax for certain income of non-resident taxpayers after the ECJ judgment in the Scorpio case
  • Germany: Ministry of Finance decree on write-downs of foreign participations after the judgment in the Rewe-Zentralfinanz case
  • Italy: Repeal of the 1998 Italian provisions concerning the 1985-1992 administrative charge due to the registration of corporate documents
  • Italy: Italian Tax Authorities’ Resolution on the application of Article 15 of the 2004 Agreement between the EU and Switzerland
  • Netherlands: A-G Opinions on tax sparing credits and most favoured nation treatment
  • Netherlands: A-G Opinion: method of ordinary credit not contrary to EC Law
  • UK: Marks & Spencer plc v Halsey: House of Lords refuse HMRC leave to appeal
  • UK: Boake Allen Limited and others v HMRC: House of Lords judgment in ACT Class 3 group litigation
  • UK: Taxation of foreign profits: Consultation
  • UK: Overseas leasing

EU developments


  • Hungary: Update on European Commission’s infringement proceeding against Hungary regarding its intra-group interest taxation scheme
  • Italy: European Commission investigates Italian tax incentive regarding the recognition of hidden capital gains of privatised banks
  • Portugal: European Commission endorses tax reductions for the free zone of Madeira for the period 2007-2013
  • Portugal: European Commission deems Portuguese tax amnesty contrary to EC Law
  • Spain: European Commission closes infringement proceeding against Spain over Registrar Fees
  • Switzerland: EU Council of Ministers authorises European Commission to negotiate on Swiss cantonal company taxes

 Issue 2007: nr.003


Download Issue 2007: nr.003: March - April 2007 (295kb)

ECJ cases


  • Belgium: Referral to ECJ regarding recharacterisation of interest as dividends
  • Belgium: Referral to ECJ regarding the Belgian Excess Dividends Received Deduction issue
  • Belgium: Referral to ECJ regarding the Belgian participation exemption
  • Belgium: Referral to ECJ regarding the Belgian Inheritance Tax Regime
  • France: AG opinion on the French 3% tax on real estate: Elisa case
  • Germany: ECJ judgment on write-downs on foreign participations: Rewe Zentralfinanz case
  • Germany: AG opinion on exemption method as anti-abuse measure: Columbus Container Services case
  • Germany: Referral to ECJ regarding deduction of EU branch losses: Krankenheim Ruhesitz case
  • Italy: ECJ judgment on the Italian legislation governing the collection of bets: Placanica and Others case
  • Luxembourg: AG opinion in the Lakebrink case
  • Sweden: ECJ Hearing in June in Swedish case regarding free movement of capital and a Third Country
  • UK: Test claimants in the Thin Cap Group Litigation v CIR

National developments


  • Belgium: Belgian minimum tax bases also apply to Belgian companies and Belgian residents practising liberal professions.
  • Finland: Supreme Administrative Court decision on transfer of registered office of an European Company (SE) and its effect on different tax issues in Finland
  • Finland: Supreme Administrative Court decision on taxation of foreign source income from a personnel fund
  • Finland: Advance ruling of the Central Tax Board on outbound dividend taxation of a non-resident individual taxpayer
  • Italy: Implementation of Directive 2003/123/EC amending the Parent Subsidiary Directive
  • Luxembourg: Administrative Court denies cross-border consolidation
  • Norway: Interpretative statement by Ministry of Finance on Cadbury Schweppes case
  • Sweden: Exit provisions for stock options
  • UK: New tax credit for individuals on non-UK dividends
  • UK: Taxation of foreign profits: Consultation

EU developments


  • EU: European Commission opens infringement proceedings against 9 Member States over discriminatory taxation of dividend and interest payments to foreign EU pension funds
  • EU: European Commission publishes progress report on the CCCTB
  • Germany: European Commission requests Germany to end discriminatory rules applied to non-resident tax payers
  • Hungary: European Commission opens in depth State aid investigation into Hungarian intra-group interest taxation
  • Ireland: European Commission requests that Ireland amend discriminatory provision on the taxation of UK source income
  • UK: European Commission investigates remittance basis of taxation for individuals

 Issue 2007: nr.002


Download Issue 2007: nr.002: January - February 2007 (320kb)

ECJ cases


  • Belgium: AG opinion on compatibility of Flemish inheritance tax relief for participations in family companies: Geurts and Vogten case
  • Belgium: European Commission refers Belgium to the ECJ over discriminatory Flemish registration tax levied on the purchase of houses
  • Belgium: European Commission refers Belgium to the ECJ for its discriminatory taxation of inbound dividends
  • Denmark: AG opinion on possibility for Member States to prevent tax avoidance under Merger Directive: Hans Markus Kofoed v Skatteministeriet case
  • Denmark: ECJ judgement on the deductibility of pension contributions: Commission v Denmark case
  • Finland: Referral to the ECJ on the protection of individuals in personal tax data processing: Satakunnan Markkinapörssi and Satamedia case
  • France: Referral to the ECJ on the application of the Parent Subsidiary Directive to the taxation of 5% of EU gross dividends
  • Germany: ECJ judgement on deduction of expenses in the Source State: Centro Equestre de Leziria Grande Ltd case
  • Germany: ECJ judgement on imputation credit on foreign dividends and on limitation of the temporal effects of ECJ judgments: Meilicke case
  • Germany: ECJ judgement on joint filing for spouses resident in different Member States: Meindl case
  • Netherlands: Referral to the ECJ on transfer tax upon inheritance by a non-resident: the Arens-Sikken case
  • Netherlands: Referral to the ECJ on treatment of negative income from an owner-occupied dwelling in the state of employment: the Renneberg case
  • Sweden: ECJ judgement on tax deferral for capital gains on private residential property: Commission v Sweden case
  • Sweden: Referral to the ECJ over Pension Insurance Issues
  • Miscellaneous: European Commission refers Belgium, Spain, Italy, Netherlands and Portugal to the ECJ for their discriminatory taxation of outbound dividends

National developments


  • Finland: First deadline for Lex Manninen refund claims to close on 30 April 2007
  • France: Non-compatibility with EU law of French "avoir fiscal" and "précompte"
  • Germany: German CFC Taxation after the Cadbury Schweppes decision
  • Ireland: Amendments to Irish group relief provisions
  • Ireland: Amendments to Ireland’s patent royalty exemption
  • Ireland: Ireland implements the European Company Regulation (Societas Europaea)
  • Italy: Amendments to the domestic Implementation Law for Interest and Royalties Directive
  • Latvia: M&S- type cross-border loss relief provisions
  • Latvia: No withholding tax on outbound dividends
  • Netherlands: AG opinion on the interpretation of the anti-abuse provision in the EC Merger Directive
  • Netherlands: New refund procedure for dividend withholding tax for foreign entities (including pension funds)
  • Norway: City court judgement on the statute of limitations on getting a refund of tax on inbound dividends
  • Norway: Decisions regarding refunds of withholding tax claimed by Dutch pension funds
  • Poland: New regulations on dividends
  • Portugal: Capital gains exemption regarding sale of owner-occupied dwellings to be amended
  • Sweden: Tax Board rulings on group contributions to foreign affiliates
  • UK: Court of Appeal judgement concerning cross-border loss relief

EU developments


  • EU: European Commission proposes new EU guidelines to avoid transfer pricing disputes
  • EU: European Commission publishes annual report on EU tax activities in 2006
  • Miscellaneous: European Commission decides whether energy tax breaks in Germany, France, Ireland and Italy constitute infringements of state aid rules
  • Belgium: European Commission requests Belgium to terminate discriminatory taxationconcerning houses outside Belgium
  • Greece: European Commission sends Greece a formal request to end its discriminatory taxation of foreign partnerships
  • Italy: European Commission requests Italy to abolish the withholding tax on dividends distributed to Dutch parent companies
  • Italy, Spain: European Commission closes two infringement proceedings against Italy and Spain
  • Netherlands: European Commission opens a formal investigation procedure for one part of the proposed Dutch patent box (‘grouprentebox’)
  • Portugal: European Commission requests Portugal to end discriminatory taxation against foreign service providers
  • Switzerland: European Commission adopts formal decision on Swiss company tax regimes

 Issue 2007: nr.001


Download Issue 2007: nr.001: November - December 2006 (250kb)

ECJ cases


  • Belgium: ECJ judgment on Belgian foreign tax credit regime (Kerckhaert-Morres case)
  • Belgium: ECJ judgment on withholding tax on construction works carried out by nonregisteredcontractors (Commission v Belgium case)
  • Belgium: A-G opinion on the application of a minimum tax base for non-residents (Talotta case)
  • Finland: ECJ judgment on taxation of non-residents´ pension income (Turpeinen case)
  • France: ECJ judgment on withholding tax on outbound dividends (Denkavit case)
  • Germany: Referral to the ECJ on transitional corporation tax rules
  • UK: ECJ judgment on corporation tax treatment of inbound dividends (Test Claimants in the FII Group Litigation v Commissioners of Inland Revenue case)
  • UK: ECJ judgment on corporation tax treatment non-resident shareholders (Class IV of the ACT Group Litigation v Commissioners of Inland Revenue case)

National developments


  • Finland: Implementation of 2005 amendments to EU Merger Directive
  • France: Supreme Court rules tax on advertising expenses incurred by companies is State aid not compatible with EC Law
  • Germany: Tax bills enacted
  • Netherlands: Association Agreement with Turkey prohibits restrictions of freedom of establishment
  • Netherlands: Court of Appeal refuses cross-border fiscal unity
  • Netherlands: A-G opinion on non-discriminatory tax measures
  • Netherlands: A-G opinion on free movement of capital and minority and majority shareholdings in the Czech Republic under the Europe Agreement and Art. 56 and 57 EC
  • Portugal: Binding information on thin capitalisation rules
  • Portugal: State Budget 2007
  • Spain: Tax court ruling against Spanish pre-2004 thin capitalisation rules
  • Sweden: Swedish Tax Board for Advance Rulings decided in a case regarding exit taxation upon corporate migration
  • Sweden: Swedish Tax Board for Advance Rulings decided in two cases regarding cross border tax consolidation
  • Switzerland: Swiss parliament approves the revision protocol of the Swiss-Spanish Double Tax Treaty
  • UK : Amendments to controlled foreign company rules following ECJ judgment in the Cadbury Schweppes case
  • UK : Reduction in time limit for mistake of law claims

EU developments


  • Belgium: Commission requests Belgium to amend tax discriminatory rules on donations to foreign charities
  • EU: Commission unfolds new proposals for closer coordination of EU national direct tax systems, including exit taxes and cross-border loss relief
  • EU: Commission consults with business and academics on CCCTB
  • France: French fiscal economic interest groups (EIGs) constitute incompatible State aid
  • Switzerland: Extension of the EU - Swiss Savings Tax Agreement to Bulgaria and Romania

 

Issue 2006: nr.006

Download Issue 2006: nr.006: September-October 2006 (284kb)

ECJ cases

  • Finland: A-G opinion in the Oy AA case: Finnish group contribution rules
  • Germany: Referral to ECJ regarding deduction of EU branch losses: M+T case
  • Germany: Referral to ECJ regarding deduction of third state branch losses: Stahlwerk Ergste Westig case
  • Germany: ECJ judgment in the Stauffer case: Charitable foundations
  • Germany: A-G opinion in the Schwarz / Gootjes-Schwarz and Commission v Germany cases: Tax deduction for school fees
  • Germany: Second A-G opinion in Meilicke case: Limitation of temporal effects of ECJ judgments
  • Germany: ECJ judgment in the Fidium Finanz case: The granting of credits by credit institutions is primarily covered by Article 49 EC
  • Germany: ECJ judgment in the FKP Scorpio Konzertproduktionen GmbH case: German tax at source on certain income for non-residents
  • Italy: ECJ judgment in the Banca Popolare di Cremona v Agenzia delle Entrate case: IRAP compatible with Sixth VAT Directive
  • Italy: ECJ Order in the Banca Popolare FriulAdria S.p.A. v Agenzia delle Entrate case: State aid to Italian banks for merger transactions
  • Italy: AG opinion in the AEM S.p.A. case: Italy’s "golden shares" rules
  • Netherlands: ECJ judgment in the N case: Dutch exit tax is disproportional
  • Portugal: Portugal v Commission case: State aid in the Azores
  • Portugal: Referral to the ECJ of tax treatment of capital gains
  • Portugal: ECJ judgment in Commission v Portugal case: Treatment of capital gains arising from transfer of immovable property in Portugal
  • UK: ECJ judgment in the Cadbury Schweppes plc and Cadbury Schweppes Overseas Ltd v CIR case: UK CFC rules limited to "wholly artificial arrangements":

National developments

  • Finland: Lower level rulings on cross-border group contributions
  • Germany: Federal Tax Court holds 5% non-deductible expense on foreign dividends incompatible with EC law - even in third countries cases
  • Norway: Extended right to claim refund of Norwegian tax on dividends (inbound and outbound)
  • Switzerland: Double Tax Treaty between Switzerland and Spain: Revision Protocol signed, Savings Tax Agreement becomes applicable
  • UK: Cross border loss relief: Marks & Spencer appeal hearing
  • UK: Implementation of Hoechst decision: Deutsche Morgan Grenfell case

EU developments

  • Greece: Commission requests Greece to end discriminatory taxation of dividends from foreign companies
  • Ireland, Poland: Commission requests Ireland and Poland to end discrimination against foreign charities
  • Italy: Commission requests information from the Italian Government on tax relief for consumer cooperatives
  • Spain: Commission opens second infringement procedure against Spain over capital gains discrimination

 

Issue 2006: nr.005

Download Issue 2006: nr.005: July-August 2006 (263kb)

ECJ cases

  • Germany: A-G opinion on joint filing for spouses resident in different Member States (Finanzamt Dinslaken vs. Gerold Meindl case)
  • Hungary: Referral to ECJ regarding freedom of establishment (Cartesio case)
  • UK: Referral to ECJ concerning compatibility of UK CFC rules with EC Treaty (Vodafone 2 v HRMC case)

National developments

  • Austria: Capital duty on intra-Community movement of effective centre of management (Auer case)
  • Finland: Accession of the new Member States to the Arbitration Convention implemented
  • Germany: Commission decides to refer Germany to the ECJ in respect of tax legislation concerning pension savings grant: "Riester-Rente”
  • Netherlands: A-G opinion on deduction of cross-border losses from own property
  • Netherlands: A-G opinion on abuse of Community Law
  • Netherlands: Lower court judgement on cross-border loss relief
  • Netherlands: Abolition of discriminatory taxation on outbound dividends following complaints by PwC and EFRP
  • UK: Implementation of Hoechst decision (Deutsche Morgan Grenfell case)

EU developments

  • EU: Commission formally requests Belgium, Spain, Italy, Luxembourg, Netherlands and Portugal to change taxation of outbound dividends
  • Belgium: Commission requests Belgium to end discrimination in Flemish registration tax
  • Belgium: Commission requests Belgium to end discriminatory taxation of inbound dividends
  • Belgium: Commission requests Belgium to end discrimination on personal tax deductions for residents with foreign source income
  • Luxembourg: Commission rules that the Holding 1929 tax regime constitutes State aid
  • Italy: Commission issues reasoned opinion to Italy for the refund of unduly paid taxes: Commission v Italy case
  • Italy: Commission refers Italy to ECJ for failure to amend parent subsidiary directive
  • Portugal: Commission refers Portugal to ECJ over discriminatory taxation of foreign banks
  • Portugal: Commission requests Portugal to repeal tax exemption on capital gains from public undertakings
  • Spain: Commission takes Spain to ECJ over infringement of capital duty directive
  • Spain: Commission requests Spain to end infringement of the parent-subsidiary directive
  • Sweden: Commission sends formal request to Sweden regarding free movement of services and free movement of capital
  • UK: Commission sends formal request to UK to end discrimination against foreign charities

 

Issue 2006: nr.004

Download Issue 2006: nr.004: May-June 2006 (261kb)

ECJ cases

  • Belgium: ECJ judgement on Belgian Coordination Centre regime (Belgium and Forum 187 ASBL v Commission)
  • Denmark: A-G opinion on tax treatment of payments to life insurance and pension insurance schemes of foreign pension institutions (Commission v. Denmark)
  • Finland: A-G opinion on Finnish rules on taxation of non-resident pension income (Turpeinen case)
  • Finland: Referral to ECJ on Finnish transfer tax
  • France: Referral to ECJ on the 3% tax on real estate applied to a Luxembourg holding company
  • Germany: Referral to ECJ on valuation of estate for German inheritance tax purposes
  • Germany: Referral to ECJ on corporation tax uplift on distributions to non-resident shareholders (Burda Verlagsbeteiligungen case)
  • Germany: A-G opinion on liability for withholding tax on payments to non-residents (FKP Scorpio Konzertproduktionen GmbH case)
  • Germany: A-G opinion on write-downs on foreign participation (Rewe Zentralfinanz eG)
  • Germany: A-G opinion on deductibility of business expenses for non-residents (Centro Equestre da Leziria Grande Ltd case)
  • Germany: Referral to ECJ on the non-deductibility of foreign currency losses in respect of foreign exempt permanent establishments (Deutsche Shell case)
  • Italy: ECJ judgement on the administrative charge (Commission (of EC) v Italy case)
  • UK: A-G opinion on UK thin cap legislation (Test claimants in the Thin Cap group litigation v Commissioners of Inland Revenue case)

National developments

  • Germany: Federal tax court judgement on transitional rules applying only to foreign shares in 2001
  • Netherlands: A-G opinion on dividend withholding tax on outbound dividends
  • Netherlands: Substantial revision of the Corporate Income Tax Act
  • UK: New legislation to allow relief for certain EEA losses
  • UK: Consultation on UK taxation of foreign profits

EU developments

  • Italy: Italy referred to ECJ by the EC over its “golden share” rules (AEM S.p.A. case)
  • EU: Council adopts code of conduct on transfer pricing documentation for associated enterprises

 

Issue 2006: nr.003

Download Issue 2006: nr.003: March-April 2006 (223kb)

ECJ cases

  • Belgium : A-G opinion on tax treatment of inbound dividends: Kerckhaert and Morres v Belgian Government case (C-513/04)
  • France : A-G opinion on tax treatment of outbound dividends: Denkavit v French Minister of Economic, Financial and Industrial Affairs case (C-170/05)
  • Germany : Second hearing in Meilicke case (C-292/04) on 30 May 2006
  • Italy : ECJ judgment on registration duty upon downstream merger: Aro Tubi Filiere S.p.A v Italian Minister of Economic and Financial Affairs case (C-46/04)
  • Italy : Referral to ECJ regarding the taxation of EEC contributions: Porto Antico di Genova case (C-427/05 )
  • Italy : A-G opinion on IRAP as VAT and temporal restriction: Banca Populare di Cremona v Entrate Ufficio Cremona case (C-475/03)
  • Netherlands : A-G opinion on Dutch legislation on emigration of substantial shareholders: N v Tax Inspectorate East / Almelo case (C-470/04)
  • Netherlands : Referral to ECJ on regime for Fiscal Investment Funds (Case No. 40.037)
  • UK : A-G opinion on UK legislation on intercorporate foreign dividend income: Test claimants in the FII Group Litigation v Commissioners of Inland Revenue case (C-446/04)
  • UK : A-G opinion on UK CFC legislation: Cadbury Schweppes plc and Cadbury Schweppes Overseas Limited v CIR UK Controlled Foreign Company case (C-196/04)

National developments

  • Germany : Draft legislation on reorganisations: Corporate and tax law
  • Netherlands : Supreme Court judgment on extension of the Bosal case to third countries (case 41 815)
  • Netherlands : Reduction of dividend withholding tax rate
  • UK : High Court judgement in the case of Marks and Spencer plc v Halsey (C-446/03) following the ECJ’s judgment on 13 December 2005

EU developments

  • Malta and the European Union: Agreement on amendments to the Maltese tax system
  • Commission issues Communication on progress and next steps on the Common Consolidated Corporate Tax base

 

Issue 2006: nr.002

Download Issue 2006: nr.002: January-February 2006 (307kb)

ECJ cases

  • Belgium: A-G opinion on renewal of the Belgian Coordination Centres (Belgian Government and Forum 187 ASBL v EC (C-182/03 and C-217/03)
  • Belgium: Referral to ECJ regarding the application of a minimum tax base for non-residents: R. Talotta v Belgian State case (C-383/05)
  • Belgium: Referral to ECJ on the taxation of Belgian residents active in other Member States: L. de Graaf and G. Daniels v Belgian State case (C-436/05)
  • Belgium: Referral to ECJ on the geographical condition under the exemption for inheritance tax: Geurts and Vogten v Belgian State case (C-464/05)
  • Germany: ECJ judgment on cross-border consideration of own property losses: Ritter-Coulais case (C-152/03)
  • Germany: ECJ judgment on non-deductibility of shareholder expenses on foreign tax-exempt dividends: Keller Holding case (C-471/04)
  • Germany: Judgement in CLT-UFA case (C-253/03): d ifferent tax rates for residents and non-residents
  • Netherlands: ECJ judgment in Senior Engineering Investments B.V. case (C-494/03): no capital duty for subsidiary upon capital contribution by parent company to sub-subsidiary
  • Netherlands: ECJ judgment on deemed residence rule inheritance tax not in conflict with free movement of capital: Van Hilten case (C-512/03)
  • Netherlands: A-G opinion: on Magpar VI B.V. case (C-509/04): no transfer of lock-up period share-for-share merger upon subsequent qualifying tax exempt merger
  • Sweden: ECJ judgment on different taxation of repurchase of shares for residents and non-residents: Bouanich case (C-265/04)
  • UK: A-G opinion on different tax treatment of dividends for residents and non-residents: Test claimants Class IV of the ACT Group Litigation v CIR (C-374/045)
  • UK: ECJ VAT clause of rights: Joined Halifax, BUPA Hospitals and University of Huddersfield cases (C-255/02, C-419/02 and C-223/03)

National developments

  • Denmark: New rules adopted in Danish law to comply with the EU merger directive
  • Finland: Advance ruling on Finnish-source dividends received by Luxembourg SICAV
  • Ireland: Irish Finance Bill 2006 published
  • Netherlands: Differential tax treatment of non-resident and resident associations and foundations abolished
  • Netherlands: A-G opinion in Dutch case on extension of “Bosal” decision to third countries (41815)
  • Netherlands: Dutch Lower Court judgment on non-deductible expenses for second-tier non-EU participations and less than 25% EU participations (case 04/04448)
  • Netherlands: Supreme Court judgment on EC Merger Directive (case 41990)
  • Netherlands: A-G opinion on transfer tax upon inheritance by a non-resident: deductibility of costs (39.819)
  • Netherlands: Dutch Lower Court judges limitation on interest deduction in cross-border situation not in breach with community law (05/914)
  • Norway: Norwegian government withdraws appeal to Supreme Court in the Fokus Bank case
  • Portugal: Exit tax upon the transfer of the seat or place of effective management
  • UK: Finance Bill 2006: Group relief changes following the Marks & Spencer judgment
  • UK: House of Lords judgment in Pirelli case (ACT Class 2)

EU developments

  • European Commission closes infringement procedure against Italian cooperative banks
  • European Commission takes Italy to the ECJ for failing to recover illegal State aid
  • European Commission opens formal State aid investigation into Luxembourg 1929 tax-exempt company holdings
  • European Commission requests Portugal to amend discriminatory taxation of foreign banks
  • European Commission takes Spain to ECJ over discriminatory capital gains and employment income taxation
  • EU-Switzerland: Update on Art. 15 of the Swiss-EU Savings Agreement

 Issue 2006: nr.001

Download Issue 2006: nr.001: November-December 2005 (271kb)

ECJ cases

  • Germany: A-G opinion on non-profit organisations: Stauffer case (C-386/04)
  • Germany: ECJ Judgement on Cross-border legal mergers: SEVIC Systems AG case (C-411/03)
  • Germany: Imputation Credit on foreign dividends: A-G opinion in Meilicke case (C-292/04)
  • Italy: ECJ decides on State aid to Italian banks for merger transactions (C-66/02 and C-148/04)
  • Portugal: Portugal referred to ECJ on tax treatment of capital gains: EC v Portugal case (C-345/05)
  • Portugal: Stamp tax on increase of capital: Optimis v Portuguese Tax Authorities case (C-366/05)
  • Sweden: Referral to ECJ for discriminatory capital gains deferral provisions on home sales
  • UK: ECJ Judgement in Marks and Spencer Plc v Halsey case (C-446/03)
  • UK: CFC: Oral hearing in Cadbury Schweppes Plc case (C-196/04)  

National developments

  • Finland: Finnish government’s r esponse to ECJ ruling in Marks & Spencer case
  • Finland: Clarifications relating to tax treatment of European companies
  • Ireland: Abolition of capital duty on issue of shares
  • Italy: Italian tax authorities deem Italian CFC legislation compatible with EU law
  • Netherlands: Dutch dividend withholding tax may be abolished gradually in near future
  • Netherlands: State Budget 2006: Abolition of capital duty on issue of shares
  • Netherlands: Lower Court judgement on non-deductible costs related to non-EU participations
  • Portugal: State Budget 2006 and changes to thin capitalisation rules
  • Portugal: Amendments of taxation of dividends
  • Spain: Contributions to employment pension schemes elsewhere in EU now tax deductible
  • Spain: Amendment to the EU Parent-Subsidiary Directive
  • UK: Overseas pension schemes: new draft regulations

EU developments

  • EC welcomes ECJ judgement in Marks and Spencer case
  • EC issues paper on tax policy and EU competitiveness and growth
  • EU Tax Commissioner Kovács outlines future of EU tax policy
  • EC consults with business and academics on CCCTB
  • EU Internal Market Commissioner McCreevy rejects tax harmonisation in Europe
  • European Parliament welcomes Commission plans for CCCTB and Home State Taxation for SMEs
  • EC adopts code of conduct on transfer pricing documentation in the EU
  • EC publishes research paper on formulary apportionment and group taxationEC issues report on structures of the taxation systems in the EU
  • EC publishes working document of workshop on ECJ case law and double taxation conventions

 Issue 2005: nr.003

Download Issue 2005: nr.003: September-October 2005 (144kb)

ECJ cases

  • Germany: ECJ hearing on non-profit organisations (Stauffer case)
  • Germany: Referral to the ECJ on cross-border joint filing for spouses (Meindl case)
  • Germany: Referral to the ECJ on most favoured nation treatment under GATS (Rizeni Letoveho Provozu case)
  • Italy: A-G opinion on State aid to Italian banks for merger transactions (Cases C-66/02 and C-148/04)
  • Netherlands: ECJ judgement on tax treatment of contributions to national security schemes (Blanckaert case)
  • Netherlands: Referral to the ECJ on withholding tax on outbound dividends (Case 04/01252)
  • UK: Cadbury Schweppes Plc CFC case listed for ECJ hearing on 13 December 2005 (Case C-196/04)

National developments

  • Germany: Federal tax court judgment: Lease payments and the Eurowings decision
  • Finland: Changes to taxation of non-residents’ Finnish source earned income
  • Italy: Lower tax court judgments on IRAP
  • Netherlands: Lower court judgment on withholding tax on outbound dividends
  • Netherlands: Supreme Court judgment on procedural costs
  • Netherlands: A-G opinion on term for refund of withholding tax under the Belgian-Dutch
  • Tax Treaty
  • Netherlands: Lower Court judgment on cross-border aspects of a fiscal unity
  • Portugal: Thin capitalisation rules made compatible with EU law
  • Portugal: A-G opinion on State aid on the Azores (Portugal v EC case)
  • Spain: Malta and Cyprus no longer on Biscay, Spain, list of tax havens
  • Spain: Amendment to Spanish regulation on the EU Savings Directive

EU developments

  • Council adopts new EU Directive on cross-border mergers
  • Greece: EC requires Greece to suspend illegal tax-exempt fund and opens investigation
  • Portugal: EC starts State aid inquiry into capital gains tax exemption for public undertakings

 

Issue 2005: nr.002

Download Issue 2005: nr.002 : July-August 2005 (126kb)

ECJ cases

  • Germany: A-G opinion on cross-border legal mergers (SEVIC case)
  • Germany: ECJ judgment on deductibility of cross-border maintenance payments (Schempp case)
  • Germany: First German CFC case referred to the ECJ (Kolumbus Container Services case)
  • Hungary: Hungarian local company turnover tax referred to the ECJ (Lakép Kft et al case)
  • The Netherlands: A-G opinion on Dutch deemed residence rule on inheritance tax and compatibility with free movement of capital between the EU and third countries (Van Hilten case)
  • The Netherlands: ECJ judgment on Most Favoured Nation doctrine (D. case)
  • The Netherlands: A-G opinion on capital tax consequences of direct capital contribution by a parent company to its sub-subsidiary (Senior Engineering Investments B.V. case)
  • Sweden: A-G opinion on different taxation of capital gains for residents and non-residents (Bouanich case)
  • United Kingdom: UK CFC and foreign dividend Group Litigation Order test case referred to ECJ
  • United Kingdom: Another UK CFC case referred to the ECJ (Vodafone 2 case)

National developments

  • Austria: Lower Court judgment on Most Favoured Nation doctrine
  • France: Lower Court judgment on French group taxation
  • Germany: Lower Court judgment on deductibility of interest relating to foreign subsidiaries
  • Ireland: Guidance Notes EU Savings Directive
  • The Netherlands: A-G opinion on different taxation of domestic and foreign dividends and free movement of capital
  • The Netherlands: Supreme Court judgment on EU Directive on indirect taxes on the raising of capital
  • The Netherlands: Supreme Court judgment on the allocation of fiscal jurisdiction
  • Sweden: Lower Court judgment on tax deferral upon exchange of shares

EU developments

  • EC takes action against several Member States over national implementation measures
  • Belgium: EC refers Belgium to ECJ over Walloon inheritance and gift tax laws
  • Finland: EC requests Finland to amend discriminatory rules on income tax deductions for resident individuals with foreign source income
  • Spain: EC requests Spain to amend discriminatory tax laws
  • Sweden: EC requests Sweden to amend discriminatory rules regarding tax relief on capital gains from sales of owner-occupied dwellings

 Issue 2005: nr.001

Download Issue 2005: nr. 001: May-June 2005 (270kb)

ECJ cases

  • Austria: Referral to ECJ on free movement of capital and third countries (Holböck case)
  • Belgium: Referral to ECJ on foreign tax credits for individuals (Kerckaert-Morres case)
  • Belgium: Tax treatment of pension capital (Commission v. Belgium)
  • Finland: Referral to ECJ on cross-border loss relief
  • France: Referral to ECJ on dividend withholding tax on distributions to EU parent (Denkavit case)
  • Germany: A-G opinion in case on German system of branch taxation (CLT-UFA case)
  • Netherlands: A-G opinion in case on general levy rebate (Blanckaert case)
  • Sweden: Referral to ECJ on dividend distribution in the form of shares (A case)
  • Sweden: Referral to ECJ on payroll costs and dividend tax exemption (A and B case)
  • United Kingdom: A-G opinion on cross border loss relief (Marks and Spencer case)

National developments

  • Austria: Tax treatment of cross-border dividends not compatible with EU law
  • Belgium: Amendments to the regime for dividend taxation
  • Finland: Response to the ECJ’s Manninen ruling
  • France: Supreme Court rules French legislation on abuse of law compatible with EU law
  • Germany: Reaction to EC Treaty infringement proceedings regarding exit tax
  • Germany: Cross-border relief for “tax-exempt” (branch) losses
  • Ireland: Changes triggered by EC Treaty non-discrimination requirements in 2005 Finance Act
  • Italy: Implementation of Interest/Royalties Directive
  • Luxembourg: Extension of availability of foreign tax credits
  • Netherlands: Marks and Spencer flavour in proposals for tax reform 2007
  • Norway: High court follows the EFTA Court Fokus Bank ruling
  • Portugal: Inbound dividends: dividend exemption for individuals expanded to foreign dividends
  • Sweden: CFC legislation ruled incompatible with EU law
  • Sweden: Swedish group contribution system incompatible with EU law
  • Switzerland: Interpretation of Swiss-EU Savings Agreement of the Swiss Federal Tax Authorities

EU Direct Tax Group activities

  • European Commission welcomes EFRP/EUDTG reports on discriminatory treatment pension funds