OECD releases additional guidance on the attribution of profits to a permanent establishment under BEPS Action 7
On 22 March 2018, the OECD released the report Additional Guidance on the Attribution of Profits to Permanent Establishments (BEPS Action 7). This report contains additional guidance on the attribution of profits to permanent establishments resulting from the changes to the definition of permanent establishment in the Report on BEPS Action 7 to Article 5 of the
New Double Tax Treaty between France and Luxembourg: impact on real estate structures
On March 20, the Luxembourg and French Governments have signed, amongst other, a new double tax treaty (DTT), together with an accompanying Protocol. The new DTT seeks to modernise the rules applying. The current treaty between Luxembourg and France was signed as long ago as 1 April 1958. The new DTT is fully “post-BEPS”. It
ECOFIN Council’s publication of the EU list of third country non-cooperative jurisdictions in tax matters
On 5 December 2017, the ECOFIN Council published its conclusions on the EU common list of (third country) non-cooperative jurisdictions in tax matters, also referred to as the ‘blacklist’ consisting of 17 jurisdictions. This initiative forms part of the EU’s broader agenda on furthering tax transparency, fair taxation and the implementation of anti-BEPS measures with the
Insights into the EU proposal on mandatory disclosure of tax information by taxpayers and intermediaries
The European Commission, on 21 June 2017, published a draft Directive that would impose mandatory reporting by taxpayers and intermediaries to the tax administrations of EU Member States for various cross-border transactions and arrangements, and the automatic exchange of this information among Member States (see previous coverage). Taxpayers and intermediaries (such as consultants, banks, and
Insights into the OECD final report on branch mismatch structures
The OECD, on 27 July 2017, released its report, Neutralising the Effects of Branch Mismatch Arrangements Action 2 (see previous coverage). The report recommends domestic law changes to neutralise the effect of certain payments or deemed payments involving branches. These recommendations are not a minimum standard, but some countries may choose to adopt all or
Belgian Act on the exchange of tax rulings and country-by-country reports formally adopted
On 11 August 2017, a Bill was published in the Belgian Official Gazette implementing into Belgian tax law several EU Directives (see previous coverage) regarding the automatic and compulsory exchange of information in the field of taxation. The Bill formally transposes (i) Directive 2015/2376/EU, the so-called DAC 3, and (ii) part of the Directive 2016/881/EU, the so-called DAC
OECD released report on Neutralising the Effects of Branch Mismatch Arrangements (BEPS Action 2)
On 27 July 2017, the OECD released the report on Neutralising the Effects of Branch Mismatch Arrangements (BEPS Action 2). This report sets out recommendations for branch mismatch rules that would bring the treatment of these structures into line with the treatment of hybrid mismatch arrangements as set out in the 2015 Report on Neutralising the Effects
Belgian tax reform reduces corporate rate to 25% and introduces fiscal consolidation
On 26 July 2017, the federal government reached an agreement on an important tax, economic and social reform package. A significant gradual reduction in the corporate income tax rate to 25% in 2020 and fiscal consolidation are key components of the package. The agreement preserves the notional interest deduction. The tax reform is built around
