Update on list of non-compliant countries – circular letter published
On 26 January 2017, a circular letter has been published with respect to the updated list of non-compliant countries in light of the international standards regarding transparency and exchange of information. More in particular, five new jurisdictions (Guatemala, Marshall Islands, (the Federal States of) Micronesia, Panama and Trinidad & Tobago) have been added to the
Commonly named “catch-all” clause – Amendments enacted
The commonly named “catch-all” clause (article 228, §3 BITC) has been recently amended. One of the main points requiring special attention is the addition of a new condition of application, namely the requirement of any direct or indirect link of interdependence. Below, we provide some background as regards the previous version of the “catch-all” clause
Likelihood of US Tax Reform reaches new high
The results of the US elections in November caught many by surprise with unexpected outcomes. Few predicted Republican candidate Donald J. Trump would be elected to serve as the next President. Republicans also retained majorities in both the US Senate and US House of Representatives. Expectations were for a split government for another 4 years
Non-confidential version of the EC’s State aid opening decision in GDF Suez published
On 5 January 2017, the European Commission (“EC”) published its opening decision in the formal investigation into Luxembourg tax rulings obtained by entities of GDF Suez. The opening decision dated 19 September 2016 explains the reasons for the initiation of the formal investigation and the additional information requested from Luxembourg in order to reach a
Law implementing recovery procedure with regard to the Belgian excess profit provision adopted
Belgium has adopted on 22 December 2016 the law covering the implementation of the European Commission (‘EC’) decision of 11 January 2016 (‘Decision’) with regard to the Belgian excess profit provision based on Article 185 §2 of Belgian Income Tax Code 1992 (‘BITC’). The law, which has been drafted in cooperation and with the approval
Company cars, internal capital gains, withholding tax, … What are the new tax measures for the year end?
Last October, the Federal Government reached an agreement on the budget and, in this framework, on several tax measures. The most important ones relate to the taxation of company cars and the end of the tax-free step-up in the case of a contribution in capital of shares by an individual (commonly referred to as “internal
New PID Regime: Innovation Income Deduction
On 2 December 2016, the Council of Ministers approved the draft Bill on the new Innovation Income Deduction regime. This pre-draft law still has to be approved by Parliament, so the below is still subject to changes. In contrast to the previous Patent Income Deduction (PID) regime, the qualifying patent/innovation income will be calculated on
Draft law on the new Belgian Innovation Income Deduction
Today, the Council of Ministers approved the new Belgian Innovation Income Deduction (IID) which will be BEPS-compliant and will replace the abolished Patent Income Deduction. The draft law is now subject to recommendations from the Council of State. The important takeaways of the IID are: The taxable result of a Belgian company or branch will
