ECJ: Advocate General finds Belgian withholding tax on interest paid to companies resident in other Member States compatible with EC freedom of establishment – details

As previously reported, on 18 September 2008, Advocate General (AG) Kokott of the European Court of Justice (ECJ) gave her opinion in the case of Etat belge - SPF Finances v. Truck Center SA (C-282/07). Details of the opinion are summarized below.

(a) Facts and legal background. SA Wicker Finances (Wicker), a Luxembourg company, held a 48% participation in Truck Center SA (Truck Center), a company resident in Belgium. In 1992, Wicker advanced an interest-bearing loan to T…