United Kingdom Tax News

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The Australian Taxation Office (ATO) released for comment Draft Taxation Determination ATO TD 2008/D15, which considers the Australian (and UK) taxation consequences of paying and receiving a return under an enhanced bond investment by an Australian taxpayer from a UK bank. The Draft Determination was released on 24 October 2008 and comments are invited by 21 November 2008.

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ECJ: Advocate General finds French legislation on group consolidation excluding lower-tier subsidiaries indirectly owned through companies resident in other Member States justifiable restriction on EC freedom of establishment – details

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Protocol to treaty between UK and Switzerland – signed and details

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2001 treaty between United States and United Kingdom – IRS issues interpretation of Art. 18 (Pension Schemes)

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Protocol to treaty between New Zealand and United Kingdom enters into force

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ECJ: Advocate General finds French legislation on group consolidation excluding lower-tier subsidiaries indirectly owned through companies in other Member States justifiable restriction on EC freedom of establishment

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OECD released 2008 Model Tax Convention

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Treaty between UK and Saudi Arabia ratified

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Treaty between UK and Slovenia ratified

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Protocol to treaty between UK and New Zealand ratified

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Discussion draft on New Art. 7 of OECD Model – details

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Netherlands

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Treaty negotiation priorities announced

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Finance Act 2008 receives Royal Assent

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OECD Council approves 2008 Model Tax Convention

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Financial Court of Düsseldorf rules on transfer pricing adjustments

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Preliminary ruling requested from ECJ on interpretation of Merger Directive in connection with scheme to avoid Netherlands property transfer tax

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Treaty between France and United Kingdom – details

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Exchange of information agreement between United Kingdom and Bermuda – ratified and details

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Treaty between United Kingdom and Slovenia – details

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Implementation of Mergers Directive

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2008 treaty between France and United Kingdom signed

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Comments on draft contents of 2008 update to Model Tax Convention published

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European Commission takes steps against Bulgaria, Portugal, Romania and Spain concerning taxation of dividends

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Draft of 2008 Model Tax Convention – Proposed changes to Commentary to Art. 12 (definition of royalties)

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European Commission closes infringement procedure against Luxembourg concerning taxation of dividends

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ECJ: Decision by reasoned order in UK CFC and foreign dividend test case

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ECJ: Advocate General finds Belgian rules on inclusion of dividends in taxable base followed by 95% deduction insofar as parent company makes profits incompatible with Parent-Subsidiary Directive – details

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ECJ: Non-deductibility of foreign PE losses in Germany compatible with EC freedom of establishment

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ECJ: Netherlands refund regime for investment funds incompatible with EC free movement of capital

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