EU Direct Tax Newsalert: EU Commission finds that Luxembourg did not grant State aid to McDonalds
On 19 September 2018, the European Commission (“EC”) issued a press release concerning its final decision in the State aid investigation into tax rulings granted by the Luxembourg tax authorities to a Luxembourg subsidiary of the McDonald’s group in relation to the treatment of a branch established in the United States of America (“US”). The
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
Luxembourg proposes new tax measures
The Luxembourg Government introduced a bill on 26 July 2016, with proposed tax measures for corporations for the 2017 tax year. The proposed changes are in line with the announcements made by the Government earlier this year. Although the bill has not been finalised, multinational enterprises operating in Luxembourg should start considering how the proposed measures,
Luxembourg, Cyprus and Seychelles removed from OECD’s list of uncooperative tax havens
On 30 October 2015, the OECD’s Global Forum on Transparency and Exchange of Information for Tax Purposes (‘Global Forum’) announced that Cyprus, Luxembourg and the Seychelles are no longer deemed to be non-compliant with the OECD Exchange of Information standard and assigned a new overall rating of ‘Largely Compliant’, following significant changes to their legal
Payments to Cyprus and Luxembourg: subject to new reporting obligation, screen your existing structures
Payments by Belgian companies of over EUR 100K (in total) to recipients in Luxembourg and Cyprus must now be reported individually in a specific form to the tax authorities. If not, they risk being non-deductible for tax purposes. Besides the additional reporting effort that this entails, it also sheds light on those payments which are
Reporting obligation for payments to tax havens: impact for payments to Cyprus and Luxembourg
Companies subject to Belgian corporate income tax (residents or non-residents) have to declare direct or indirect payments exceeding EUR 100,000 to recipients established in ‘tax havens’. For these purposes, a tax haven is defined as a country: with no or low taxation (i.e. the nominal standard tax rate is less than 10%); that, for the
Belgium-Luxembourg cross-border workers
Belgium-Luxembourg cross-border workers: mutual agreement signed and information regarding evidence to support presence in Luxembourg published Following the announcement made early February, the Belgian and Luxembourg finance ministers concluded on 16 March 2015 a mutual agreement with respect to cross-border employment tax situations that confirms, retroactively as from 1 January 2015, the introduction of a derogation to
Facilitation for Belgium-Luxembourg cross-border workers
The Belgian and Luxembourg governments had a joint meeting yesterday in Brussels and came to the following agreement with respect to cross-border employment tax situations: With respect to wages taxes, a tolerance will retroactively (as from 1 January 2015) enter into force regarding the physical presence outside the (usual) country of employment. Concretely, a Belgian resident
