Spain–MNE Tax

Austria

Recent corporate tax trends in EU countries: Cristina Enache / Tax Foundation→

April 5, 2022

Denmark

Lessons learned from Spain’s denial of withholding tax exemption on interest payments to EU residents based on GAAR

March 14, 2022

Ramon Bonell, Complutense University of Madrid, discusses the lessons that can be learned from the Spanish Tax Authority’s December 16, 2021 challenge of the domestic withholding tax exemption on interest paid to EU residents based on the application of the General Anti-Abuse Rule (GAAR).

Europe

Spain’s National Court challenges the deductibility of intragroup services in the absence of a written contract

March 9, 2022

Pilar Barriguete and Victoria Arozamena, Kroll Advisory, S.L., discuss Spain’s recent tendency to challenge intragroup services, denying its corporate income tax deductibility; this view is most recently reflected in the Spanish National Court’s January 25 ruling that it did not consider the provision of intragroup services to be sufficiently proven in the absence of a written contract.

Europe

Spain’s annual guidelines on tax and customs controls focus on transfer pricing issues

February 28, 2022

Abigail Blanco Vázquez and Mario Ortega, J&A Garrigues, S.L.P., discuss the Spanish tax agency’s January 31 publication of the general guidelines of the 2022 Annual Tax and Customs Control Plan, containing transfer pricing changes, including a new automated transfer pricing risk analysis system.

Americas

The applicability of the Spanish GAAR to conduit structures after the CJEU Danish cases

February 23, 2022

Aitor Navarro, Carlos III University, discusses the Spanish tax authorities’ December 16, 2021 publication of a panel report on the applicability of the domestic GAAR to a conduit arrangement aimed at benefiting from an exemption at source on the payment of interest income to EU residents.

Americas

Has the Indian tax administration removed the sheen from the ‘most favoured nation’ clause in its tax treaties?

February 22, 2022

Priyanshi Chokshi, Raghav Bajaj, and Vinita Krishnan, Khaitan & Co., analyze the ramifications of the Indian Central Board of Direct Taxes’ clarification of the applicability of the “most favoured nation” (MFN) clauses in Indian tax treaties through its February 3 circular.

Europe

Spanish National Court challenges the application of an internal CUP in favor of the TNMM

February 22, 2022

Mario Ortega and Rubén López, J&A Garrigues, S.L.P. discuss the Spanish National Court’s December 20, 2021 decision resolving a case revolving around the selection and application of certain transfer pricing methods.

Americas

Switzerland will implement global minimum tax by constitutional amendment

January 13, 2022

The Swiss Federal Council on January 12 decided that it will implement the 15% global minimum tax agreed by the OECD Inclusive Framework through a constitutional amendment with an aim to ensure the measure comes into force as of January 1, 2024; the approach is intended to . . .

Asia-Pacific

OECD review of tax ruling exchange standard finds 36 countries could improve

December 14, 2021

Out of 131 countries the OECD reviewed in a 2020 peer review report released on December 14, 95 received no flags for improvement with respect to implementing the OECD minimum standard on exchange of information on tax rulings; however, 36 countries fell short, including . . .

Americas

India and US agree on transition from India’s ‘equalization levy’ digital tax

November 29, 2021

The US and India have reached a compromise on a transition from India’s “equalization levy” digital services tax towards the terms of the October 8 multilateral agreement on new international taxing rules, according to a November 24 . . .

Americas

Tax dispute resolution via mutual agreement procedure works, mostly, but is still slow

November 23, 2021

Around 75% of mutual agreement procedure (MAP) cases concluded worldwide in 2020 – both for transfer pricing and other tax cases – resulted in full resolution of the issue, according to the OECD’s 2020 MAP statistics released November 22, with only . . .

Asia-Pacific

Turkey and US agree on phase-out of digital tax

November 23, 2021

The US Treasury announced on November 22 that it has reached an agreement with the Turkish government on Turkey’s transition from its digital services tax to the new taxing rules under the . . .

Europe

CJEU confirms Spanish tax measure for goodwill is unlawful state aid

November 19, 2021

Ana Garutti, Orange Spain, discusses the October 6 decision of the Court of Justice of the European Union (CJEU) holding that Spain’s aid for investments in foreign entities, through a measure allowing amortization of goodwill, is discriminatory, because the aid . . .

Europe

Spain introduces minimum tax of 15% for companies

November 15, 2021

Ramon Bonell, EURTAX.com, discusses Spain’s 2022 budget that establishes a minimum corporate income tax rate of 15% of the tax base for certain taxpayers effective in 2022; the tax applies regardless of whether . . .

Accounting

EU adopts public country-by-country reporting to deter corporate tax avoidance

November 11, 2021

The EU’s new requirement for multinationals to publicly disclose the amount of tax they pay in each EU country will become law following the approval by the European Parliament on November 11; multinationals will have to begin complying with . . .

Asia-Pacific

Spanish Supreme Court denies access to MAP in domestic GAAR tax case

November 2, 2021

Aitor Navarro, Carlos III University, discusses the September 22 Spanish Supreme Court decision regarding SGL Carbon Holding (ECLI:ES:TS:2021:3572), addressing the denial of a mutual agreement procedure (MAP) initiation request on the grounds of tax abuse in a case involving . . .

Accounting

European digital services taxes to stay for now, with offsetting credits, countries agree

October 21, 2021

Under an October 21 agreement between the United States and Austria, France, Italy, Spain, and the UK, the European countries can keep their existing digital services taxes in place pending implementation of Pillar 1 of the OECD global tax deal; however, multinational groups . . .

Americas

Switzerland, Estonia, Ireland seek concessions in global tax deal

October 4, 2021

OECD Secretary-General Mathias Cormann told the Swiss Finance Minister that he personally does not see a consensus on a global minimum tax at a rate above 15%, attempting to allay Swiss concerns about the Inclusive Framework’s July statement referring to . . .

Africa

Multilateral convention to implement tax treaty related measures to prevent BEPS gains 96th signatory in Namibia, will enter into force for Andorra and Spain in January 2022: OECD→

September 30, 2021

Americas

ICAP multilateral tax risk assurance program applications due September 30

September 2, 2021

Multinational entities interested in participating in the first full round of the OECD Forum on Tax Administration (FTA) International Compliance Assurance Programme (ICAP) have until September 30 to submit the . . .

Americas

Brazil’s upcoming tax reform will impact inbound investors

August 10, 2021

Luis Felipe de Campos, Rolim, Viotti, Goulart, Cardoso Advogados, discusses the substitute tax reform bill that Brazil’s Ministry of Economy presented to Congress on June 25, including provisions affecting corporate tax rates, profit distributions, interest . . .

Europe

Spain tightens international tax transparency rules and introduces concept of ‘non-cooperative jurisdictions’

August 5, 2021

Abigail Blanco Vázquez and Álvaro de la Cueva of J&A Garrigues, S.L.P., discuss Spain’s law published on July 9 to prevent and combat tax fraud (Law 11/2021), triggering changes to various tax concepts and to the general taxation law itself. Provisions in the anti-fraud law affecting corporate income tax and . . .

Africa

Countries take diverse transfer pricing approaches to financial transactions, profit attributions

August 4, 2021

Updated transfer pricing country profiles released by the OECD on August 3 include for the first time information on 20 reviewed countries’ transfer pricing rules applicable to . . .

Europe

Spain amends MAP rules for tax and transfer pricing disputes

June 29, 2021

Mario Ortega Calle and Íñigo García Fernández, J&A Garrigues, S.L.P., discuss Spain’s June 8 approval of Royal Decree 399/2021, improving its mutual agreement procedure (MAP) for resolving double taxation . . .

Americas

US plans tariffs against six nations as digital tax talks heat up

June 2, 2021

The US Trade Representative on June 2 announced and then immediately delayed implementation of new tariffs on goods from six countries – Austria, India, Italy, Spain, Turkey, and the UK – in response to . . .

Digital Economy

Self-assessment of Spain’s digital services tax postponed until July

May 27, 2021

Alma Delia Virto Aguilar, Postdoctoral researcher at the University of Valencia and Professor, International Taxation LLM, UNIR, discusses the status of Spain’s digital services tax . . .

Europe

Spanish guidance clarifies transfer pricing arm’s length range

April 28, 2021

Mario Ortega and Íñigo García, J&A Garrigues, S.L.P., discuss Spain’s February 24 transfer pricing guidance on arm’s length price . . .

Europe

Spanish finance minister says Spain favors global minimum corporate tax, presents committee with broad tax reforms to bolster revenue: Explica.co→

April 12, 2021

Americas

US threatens tariffs against six more nations over digital taxes, drops investigation into others

March 29, 2021

The US Trade Representative has recommended trade actions against Austria, India, Italy, Spain, Turkey, and the UK following its findings that digital services taxes adopted by these countries discriminate against US companies. . .

Europe

Spain to scrutinize taxpayers’ transfer pricing positions in 2021

February 24, 2021

Pilar Barriguete and Edland Graci, Duff & Phelps, Spain, discuss the Spanish government’s priorities for tax enforcement, set out in a January 19 announcement . . .

Austria

Trade groups sue over Maryland’s controversial tax on digital advertising

February 22, 2021

Four organizations have joined in a lawsuit challenging a new Maryland state law levying a tax on digital ad revenue – the latest twist in an ongoing dispute with international implications. The US Chamber of Commerce, the . . .

Americas

Report estimates effective tax rates on investment in the EU member states, North Macedonia, Turkey, UK, Norway, Switzerland, Canada, Japan, and US: EU Commission→

February 19, 2021

Asia-Pacific

Japan-Spain tax treaty to enter into force in May

February 19, 2021

Japan and Spain recently completed the necessary steps . . .

Digital Economy

Amazon to increase fees of Spanish companies that use its platform in response to imposition of 3 percent DST: Reuters→

January 25, 2021

Americas

US says Austria, Spain, UK digital taxes discriminate, warns on EU tax, three others

January 15, 2021

Digital services taxes enacted in Austria, Spain, and the UK discriminate against US companies within the meaning of Section 301 of the US Trade Act of 1974, the Office of the US Trade Representative . . .

Americas

US says Italy, India, Turkey digital services taxes are discriminatory, suspends France tariff action

January 7, 2021

Digital services taxes enacted in India, Italy, and Turkey discriminate against the United States; however, for now, no trade actions will be taken, the Office of the US Trade Representative . . .

Africa

OECD publishes details on 40 countries’ uptake of transfer pricing rules for hard-to-value intangibles

December 16, 2020

The OECD today published 40 responses to a questionnaire that asked officials whether their country has adopted transfer pricing rules for . . .

Europe

Commission opinion asserts that Spain has missed deadline to transpose hybrid mismatch directive into law and threatens lawsuit unless action is taken within two months: European Commission→

November 2, 2020

Europe

Spanish draft budget proposes to limit large MNEs’ tax exemption for dividends and capital gains from subsidiaries, tax real estate investment trusts: Carlos E. Cue & Laura Delle Femmine / El Pais→

October 28, 2020

Khaled Al Zaabi on Spanish government proposes digital services tax: “We are seeking assistance with Digital Assets and International Tax Consulting to help Abu Dhabi UAE Oil Company navigate the…” October 24 ,2024

Emma Hinson Sims on The Pillar One blueprint — the potential future of international taxation and transfer pricing: “HAPPY BIRTHDAY TO A VERY SMART, BEAUTIFUL, YOUNG LADY ON JANUARY 13TH.” January 6 ,2024

David Valdez on US Tax Court resolves Whirlpool tax dispute involving Mexican maquiladora structure: “Greetings Whirlpool Mexico, I’m trying to contact someone involved with the decision making for transportation from all of your Mexican…” October 20 ,2023

Jose Dominguez on The new US international tax rules: what you need to know about GILTI, FDII, BEAT etc.: “Very informative article. Question. Do you have a software to compute these US International Calcs to make them in house?” April 12 ,2023

Ciro César Soriano de Oliveira on Danish High Court rules on beneficial ownership of dividends for tax purposes: “Dear Ms Susi, This article is immensely clarifying. I’d like to know whether Danish Supreme Court has already granted its…” March 24 ,2023

May 19 – 20	Tax Council Policy Institute Conference	Washington, D.C.
May 19 – 20	IFA Second European Region Conference	Milan, Italy
May 24	IFA Webinar Series Pillar Two: An Update	Virtual Event
Sept. 4 – 8	IFA Congress	Berlin