On 12 May 2012, the Court of First Instance (Gerecht van Eerste Aanleg) Leuven gave its decision in a case on the deduction of competition fines as business costs. Details of the case are summarized below.
(a) Facts. The Taxpayer was a company established in Belgium, which claimed a deduction for a fine imposed by the European Commission due to violation of EC competition law. The tax administration refused to grant the deduction.
(b) Issue. Article 53…