The paper first addresses the group cases in which the Court initially (2002-2007) considered from an inbound (or host country) perspective the intra-group transactions between affiliated companies in connection to payments of interest by a controlled/affiliated to a foreign controlled/affiliated company in the context of the so called “thin capitalization cases” (see infra Section 2). The paper then discusses the group cases in which, from 2007 onwards, the Court extended the inbound (or host country) analysis to intra-group profit transfers that can be made in certain jurisdictions that adopt group contribution as a form of domestic tax consolidation, or that are carried out through intra-group allocations of financial costs (see infra Section 3). Finally the paper then addresses those group cases decided by the Court from an outbound (or home country) perspective that involved recognition by the parent company of tax situations of foreign controlled companies (see infra Section 4). Finally at section 5 the paper verifies how the recent Proposal for a Council Directive on a Common Consolidated Corporate Tax Base (“the CCCTB Proposal”) impacts on the rules relating to intra-group transactions that derive from the case law of the ECJ as discussed at sections 2 through 4.
Inter-country Equity and Intra-group Transactions at EU Level: An Analysis of the CCCTB Proposal and ECJ Tax Cases
GARBARINO, CARLO
2012
Abstract
The paper first addresses the group cases in which the Court initially (2002-2007) considered from an inbound (or host country) perspective the intra-group transactions between affiliated companies in connection to payments of interest by a controlled/affiliated to a foreign controlled/affiliated company in the context of the so called “thin capitalization cases” (see infra Section 2). The paper then discusses the group cases in which, from 2007 onwards, the Court extended the inbound (or host country) analysis to intra-group profit transfers that can be made in certain jurisdictions that adopt group contribution as a form of domestic tax consolidation, or that are carried out through intra-group allocations of financial costs (see infra Section 3). Finally the paper then addresses those group cases decided by the Court from an outbound (or home country) perspective that involved recognition by the parent company of tax situations of foreign controlled companies (see infra Section 4). Finally at section 5 the paper verifies how the recent Proposal for a Council Directive on a Common Consolidated Corporate Tax Base (“the CCCTB Proposal”) impacts on the rules relating to intra-group transactions that derive from the case law of the ECJ as discussed at sections 2 through 4.I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.