WTS Newsletter

• Hot topic: ECJ landmark decision in the case C-545/19 (AEVN) dated 17 March 2022
• Hot topic: OECD Commentary on Pillar Two
• Austria: Supreme Administrative Court on foreign Trusts
• Belgium: New fund type – Belgian ELTIF & WHT reclaim
• China: Change in taxation of equity investments
• Czech Republic: New Czech government & increase of interest rate
• France: Tax measures on gains from the sale of digital assets
• Germany: Economic ownership and securities lending & WHT on crypto fund units
• Netherlands: Government proposal to curb dividend stripping
• Poland: Supreme Administrative Court on beneficial ownership & Indirect transactions with tax havens
• Sweden: WHT for pension funds & VAT treatment of interchange fees in Sweden
• UK: HMRC on Implementation of Pillar Two, ISA compliance and Uncertain Tax Treatment & Review of UK funds regime

Recent EU developments with respect to WHT
Argentina: Tightening of the foreign exchange control framework, increase of Corporate Income Tax, taxation of crypto currencies, & Supreme Court decision on interest deduction
Austria: Draft bill on new Austrian tax regime for crypto currencies published  
Czech Republic: Act on Investment Companies and Investment Funds & Green Tax  
Finland: CJEU Advocate General Opinion (C-342/20) on tax exemption criteria designed for contractual funds & Changes to the interest deduction limitation rules 
France: VAT option for banking and financial services (draft bill) 
Germany: Impact of recent Coalition Agreement on the FS industry, Revised CFC rules & Introduction of check the box regime 
India: Taxation of Dividend income 
Ireland: The taxation of crypto currency in Ireland 
Netherlands: Court decisions on German real estate investment fund with Dutch real estate income & Dividend tax refund for UK pension fund 
Poland: Polish Deal – selected WHT issues (incl CIVs) 
Slovenia: Taxation of crypto currencies 
Sweden: Proposed tax on credit institutions & Postponement of new WHT Act 
Switzerland: Reform of Swiss WHT regime & New legal framework on implementation of international tax agreements 

Germany: Introduction of crypto fund units
Austria: New CJEU decision on VAT exemption
Belgium: Investment funds and the new annual tax on securities accounts
Denmark: Fidelity Funds and 24 June 2021 Supreme Court (Update) – Beneficial ownership – Tax Havens
Finland: Government Budget Proposal – Supreme Administrative Court on taxation of carried interest
Germany: Administrative guidance on securities lending transactions
Hungary: New taxation rules for crypto assets
Ireland: Share Schemes in the Irish Tax System
Italy: Tax exemption on interest from medium / long term loans paid to foreign investment funds – Tax regime of interests on loan granted to Italian tax resident persons by non-resident banks
Luxembourg: Refund of Luxembourg dividend WHT and proof of beneficial ownership
Poland: Polish Deal – WHT scheme, holding companies and VAT option
Switzerland: Substantial reform of Swiss WHT and Stamp Tax

WHT reclaim – CJEU Case C-545/19 (“AEVN”) – Update
Belgium: New annual tax on securities accounts introduced
Czech Republic: Taxation of capital gains of German and Liechtenstein tax residents
Denmark: Danish High Court (Landsretten) issues two rulings in beneficial ownership on dividends
Finland: Taxation of crypto assets
France: The new French-Luxembourg tax treaty: comments from the French tax authorities
France: Consequences of the Brexit on direct tax in France
France: E-Invoicing & E-Reporting obligations in France
Germany: Upcoming legislation on crypto assets, new fund types, WHT reclaims and ATAD
India: Tax incentives set to attract global investors
Encashment Tax in Ireland – a recent amendment
Italian tax exemption on dividends paid to foreign investment funds
Luxembourg: New guidance on DTT mutual agreement procedure
Dutch Supreme Court of 9 April 2021 regarding Dutch dividend WHT refund claims
Polish WHT landscape – uncertainty and abeyance since 1 January 2019
Spain: Supreme Court on WHT exemption for sovereign wealth funds
Sweden: Crypto assets
Spring 2021: Reshaping UK‘s tax landscape

• Austria: Change in the VAT treatment of rental revenues of foreign property owners
• Belgium: VAT registration with a fiscal representative, new rules on guarantees
• France: Changes in sight
• Germany/EU: Changes to Intrastat reporting
• Hungary: VAT changes from 2022
• Italy: E-invoicing via SDI extension
• The Netherlands: Developments for investment funds and VAT fiscal unities
• Poland: Voluntary e-invoice as of 1 January 2022

Further countries

• China: Changes to indirect tax surcharges
• Kingdom of Saudi Arabia: Changes to VAT, invoicing and customs charges
• Singapore: Expanding the scope of application of GST
• Ukraine: New VAT regulations taking effect in 2022

EU Member-States

Austria: Higher court confirms the granting of interest for overdue VAT credits
France: First flavour of the planned ambitious e-invoicing and e-reporting reform
Germany I: Sale of admission tickets for events, non-objection regulation
Germany II: Postponed: warranty commitments granted for remuneration as insurance transaction
Hungary: eVAT – What does the new draft eVAT return mean for taxpayers?
Poland: Further changes in the Polish VAT Act
Romania: Implementation of the Standard Audit File for Tax (SAF-T)

Further countries

Ukraine: Taxation of motivational fees

EU Member-States

Austria: Tax trap with Value Added Tax assessment
France: Facilitating the reporting obligations of foreign operators
Germany I: Warranty commitments granted for remuneration as insurance transaction
Germany II: Supervisory board members as taxable persons
Hungary: Online invoice reporting and self-billing
Italy: Input VAT refund via web portal
Poland: VAT group treatment

Further countries

Nigeria: Validity of the VAT Act
Ukraine: Taxation of digital services

EU Member-States

Denmark: Requirements for foreign businesses registered for VAT in Denmark
Germany I: Work deliveries – update
Germany II: ECJ case “Danske bank” and its potential effects on German VAT landscape
Hungary: 5% VAT on new residential properties
Poland: E-invoices as a new solution in the Polish law
Portugal: Update on the reverse charge mechanism for non-resident taxpayers
Spain: Pre303 – a service for everyone

Further countries

Chile: Simplified tax regime for digital services
Kingdom of Saudi Arabia: Tax exemptions for the Special Integrated Logistics Zone entities

Europe

• Austria: No annual CbCR notification required since 1 January 2022
• Czech Republic: The Czech Supreme Administrative Court’s thoughts on related party definition
• France: The RKS case: shades of nuance in TP by the French Supreme
• Administrative Court
• Germany: New case law on the determination of arm’s length interest
• rates for intercompany loans
• Ireland: TP Compliance requirements in Ireland
• Italy: New rules on TP documentation
• The Netherlands: Netherlands disallows unilateral downward TP adjustments
• Poland: Polish regulations on “indirect” transactions with tax havens
• Portugal: Amendments to Transfer Pricing legislation
• United Kingdom: Outcome of the UK consultation on TP documentation  
• Ukraine: Ukrainian Ministry of Finance clarifies new TP rules on business purpose

Further Countries

• Brazil: Effects of extinction of LIBOR rate to Brazilian TP controls
• China: Deduction of interest charged by related parties  
• New Zealand: New BEPS disclosure guidance and preparation forms
• Taiwan: Taiwan CFC rules will be implemented as of 2023 in response to the Global Minimum Tax

Europe

Austria: New Austrian Transfer Pricing Guidelines 2021
Belgium: Belgian Transfer Pricing court case: a rare occurrence
France: The Engie Case: an ambitious new approach by the French Tax Administration
Germany: German Federal Ministry of Finance: Administrative Principles 2021 on Transfer Pricing published
Germany: Recent changes on German Tax Law concerning Transfer Pricing
Ukraine: State Tax Service intensifies TP control

Further Countries

Argentina: Transfer Pricing developments in Argentina
Benin: Transfer Pricing Update Benin
Chile: Migration of the approach of the Chilean Revenue Service to segments with greater fiscal impact
China: Responses to practical questions on the Transfer Pricing implications of the COVID-19 impacts15
Nigeria: Transfer Pricing Update on Nigerian TP case
Senegal: Implementation of Action 12 of BEPS project: a strengthened internal tax system
Taiwan: Supreme Administrative Court decides on one-time Transfer Pricing adjustments
Thailand: TP legal framework and practical insights
United States: The US’ role in global adoption of Pillar 1 and Pillar 2 / ongoing conversations in the US on tax reform / a status update on US tax reform
Vietnam: Transfer Pricing Update Vietnam

Europe
Austria: New Austrian Transfer Pricing Guidelines 2020
France: Self-financing through intangible assets or how to generate significant tax savings
Germany: German Federal Ministry of Finance: Administrative Principles 2020 published
Hungary: Pandemic does not stop TP audits in Hungary
Italy: New Rules on the Transfer Pricing Documentation
The Netherlands: Proposed limitation to Dutch unilateral downward adjustments
Poland: New documentation requirements for transactions with tax havens as of 1 January 2021
UK: UK Consultation on Transfer Pricing Documentation

Further Countries
Argentina: Mandatory Disclosure Framework and Transfer Pricing
Brazil: New ‘Local File’ Requirements in Brazil
Chile: Recent cases on TP – Chile vs Avery Dennison Chile SA (FY 2012)
China: China releases public consultation paper on simplified unilateral APA procedures
Ghana: Ghana introduces new Transfer Pricing Regulations
India: Transfer Pricing Update India
Senegal: Latest Transfer Pricing tax reform implementing Action 12 of the OECD BEPS project
Vietnam: The regulations on the Advance Pricing Agreement (“APA”) and its modification

Europe
France: Proof of the interest rate applied between related companies
Spain: Transposition of directive 2017/1852, of the council of 10 October 2017, relating to the integration of mechanisms or the resolution of tax disputes in the European Union into Spanish domestic law
Sweden: New guidance on financial guarantees
Ukraine: New business purpose test in Ukrainian tax law

Further Countries
Argentina: Argentina adds new transfer pricing documentation requirements for operations with intermediaries
Chile: Adoption of new transfer pricing requirements: master file & local file
Costa Rica: Transfer pricing update for Costa Rica
India: Updates on the Mutual Agreement Procedure (MAP)
China publishes annual APA report
Nigeria: Averting penalties on TP transactions by means of proper TP compliance
Senegal: The Multilateral Convention of OECD BEPS project: Senegal’s position and its impact on its bilateral DTTs
Taiwan: Draft amendments to transfer pricing assessment rule
Vietnam: New decrees on transfer pricing