[ParlTrack]

Proposal for a directive
Recital 5

(5) Since differences in rates of taxation do not give rise to the same obstacles, the system (the Common ~~Consolidated~~ Corporate Tax Base (CCCTB)) need not affect the discretion of Member States regarding their national rate(s) of company taxation.

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Recital 6

(6) Consolidation is an essential element of such a system, since the major tax obstacles faced by companies in the Union can be tackled only in that way. It eliminates transfer pricing formalities and intra-group double taxation. Moreover, losses incurred by taxpayers are automatically offset against profits generated by other members of the same group.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Recital 7

~~(7) Consolidation necessarily entails rules for apportionment of the result between the Member States in which group members are establish~~deleted.

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Recital 8

(8) Since such a system is primarily designed to serve the needs of companies that operate across borders, it should be an optional scheme, accompanying the existing national corporate tax systems. However, when reviewing this Directive, special consideration should be given to introduction of an obligatory system of Common Corporate Tax Base.

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Recital 9

(9) The system (the Common ~~Consolidated~~ Corporate Tax Base (CCCTB)) should consist in a set of common rules for computing the tax base of companies without prejudice to the rules laid down in Council Directives 78/660/EEC and 83/349/EEC and Regulation of the European Parliament and of the Council 1606/2002/EC.

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Recital 16

(16) Eligibility for consolidation (group membership) should be determined in accordance with a two-part test based on (i) control (more than 50% of voting rights) and (ii) ownership (more than 75% of equity) or rights to profits (more than 75% of rights giving entitlement to profit). Such a test ensures a high level of economic integration between group members, as indicated by a relation of control and a high level of participation. The two thresholds should be met throughout the tax year; otherwise, the company should leave the group immediately. There should also be a nine- month minimum requirement for group membership.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Recital 17

(17) Rules on business reorganisations should be established in order to protect the taxing rights of Member States in an equitable manner. Where a company enters the group, pre-consolidation trading losses should be carried forward to be set off against the taxpayer's apportioned share. When a company leaves the group, no losses incurred during the period of consolidation should be allocated to it. An adjustment may be made in respect of capital gains where certain assets are disposed within a short period after entry to or exit from a group. The value of self-generated intangible assets should be assessed on the basis of a suitable proxy, that is to say research and development, marketing and advertising costs over a specified period.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Recital 21

(21) The formula for apportioning the consolidated tax base should comprise three equally weighted factors (labour, assets and sales). The labour factor should be computed on the basis of payroll and the number of employees (each item counting for half). The asset factor should consist of all fixed tangible assets. Intangibles and financial assets should be excluded from the formula due to their mobile nature and the risks of circumventing the system. The use of these factors gives appropriate weight to the interests of the Member State of origin. Finally, sales should be taken into account in order to ensure fair participation of the Member State of destination. Those factors and weightings should ensure that profits are taxed where they are earned. As an exception to the general principle, where the outcome of the apportionment does not fairly represent the extent of business activity, a safeguard clause provides for an alternative method.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 2 – paragraph 2

2. This Directive shall apply to companies established under the laws of a third country where both of the following conditions are met: (a) the company has a similar form to one of the forms listed in Annex I; (b) the company is subject to one of the corporate taxes listed in Annex II.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 3

Eligible third country company forms 1. The Commission shall adopt annually a list of third country company forms which shall be considered to meet the requirements laid down in Article 2(2)(a). That implementing act shall be adopted in accordance with the examination procedure referred to in Article 131(2). 2. The fact that a company form is not included in the list of third country company forms referred to in paragraph 1 shall not preclude the application of this Directive to that form.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 4 – paragraph 1 – point 2

~~(2) ‘single taxpayer’ means a taxpayer not fulfilling the requirements for consolidation;~~deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 4 – paragraph 1 – point 6

(6) ‘principal taxpayer’ means: (a) a resident taxpayer, where it forms a group with its qualifying subsidiaries, its permanent establishments located in other Member States or one or more permanent establishments of a qualifying subsidiary resident in a third country; or (b) the resident taxpayer designated by the group where it is composed only of two or more resident taxpayers which are immediate qualifying subsidiaries of the same parent company resident in a third country; or (c) a resident taxpayer which is the qualifying subsidiary of a parent company resident in a third country, where that resident taxpayer forms a group solely with one or more permanent establishments of its parent; or (d) the permanent establishment designated by a non-resident taxpayer which forms a group solely in respect of its permanent establishments located in two or more Member States.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 4 – paragraph 1 – point 7

(7) ‘group member’ means any taxpayer belonging to the same group, as defined in Articles 54 and 55. Where a taxpayer maintains one or more permanent establishments in a Member State other than that in which its central management and control is located, each permanent establishment shall be treated as a group member;deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 4 – paragraph 1 – point 11

~~(11) ‘consolidated tax base’ means the result of adding up the tax bases of all group members as calculated in accordance with Article 10;~~deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 4 – paragraph 1 – point 12

~~(12) ‘apportioned share’ means the portion of the consolidated tax base of a group which is allocated to a group member by application of the formula set out in Articles 86-102;~~deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 4 – paragraph 1 – point 21

~~(21) ‘competent authority’ means the authority designated by each Member State to administer all matters related to the implementation of this Directive;~~deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 4 – paragraph 1 – point 22

(22) ‘principal tax authority’ means the competent authority of the Member State in which the principal taxpayer is resident or, if it is a permanent establishment of a non-resident taxpayer, is situated;deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 4 – paragraph 1 – point 23

~~(23) ‘audit’ means inquiries, inspections or examinations of any kind conducted by a competent authority for the purpose of verifying the compliance of a taxpayer with this Directive.~~deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 54

Qualifying subsidiaries 1. Qualifying subsidiaries shall be all immediate and lower-tier subsidiaries in which the parent company holds the following rights: (a) a right to exercise more than 50% of the voting rights; (b) an ownership right amounting to more than 75% of the company's capital or more than 75% of the rights giving entitlement to profit. 2. For the purpose of calculating the thresholds referred to in paragraph 1 in relation to companies other than immediate subsidiaries, the following rules shall be applied: (a) once the voting-right threshold is reached in respect of immediate and lower-tier subsidiaries, the parent company shall be deemed to hold 100% of such rights. (b) entitlement to profit and ownership of capital shall be calculated by multiplying the interests held in intermediate subsidiaries at each tier. Ownership rights amounting to 75% or less held directly or indirectly by the parent company, including rights in companies resident in a third country, shall also be taken into account in the calculation.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 54 – paragraph 1

1. Qualifying subsidiaries shall be all immediate and lower-tier subsidiaries in which the parent company holds the following rights: (a) a right to exercise more than 50% of the voting rights; (b) an ownership right amounting to more than 75% of the company's capital or more than 75% of the rights giving entitlement to profit.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 54 – paragraph 2

2. For the purpose of calculating the thresholds referred to in paragraph 1 in relation to companies other than immediate subsidiaries, the following rules shall be applied: (a) once the voting-right threshold is reached in respect of immediate and lower-tier subsidiaries, the parent company shall be deemed to hold 100% of such rights. (b) entitlement to profit and ownership of capital shall be calculated by multiplying the interests held in intermediate subsidiaries at each tier. Ownership rights amounting to 75% or less held directly or indirectly by the parent company, including rights in companies resident in a third country, shall also be taken into account in the calculation.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 55

Formation of group 1. A resident taxpayer shall form a group with: (a) all its permanent establishments located in other Member States; (b) all permanent establishments located in a Member State of its qualifying subsidiaries resident in a third country; (c) all its qualifying subsidiaries resident in one or more Member States; (d) other resident taxpayers which are qualifying subsidiaries of the same company which is resident in a third country and fulfils the conditions in Article 2(2)(a). 2. A non-resident taxpayer shall form a group in respect of all its permanent establishments located in Member States and all its qualifying subsidiaries resident in one or more Member States, including the permanent establishments of the latter located in Member States.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 56

Insolvency A company in insolvency or liquidation may not become a member of a group. A taxpayer in respect of which a declaration of insolvency is made or which is liquidated shall leave the group immediately.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 57

Scope of consolidation 1. The tax bases of the members of a group shall be consolidated. 2. When the consolidated tax base is negative, the loss shall be carried forward and be set off against the next positive consolidated tax base. When the consolidated tax base is positive, it shall be shared in accordance with Articles 86 to 102.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 58

Timing 1. The thresholds of Article 54 must be met throughout the tax year. 2. Notwithstanding paragraph 1, a taxpayer shall become a member of a group on the date when the thresholds of Article 54 are reached. The thresholds must be met for at least nine consecutive months, failing which a taxpayer shall be treated as if it had never having become a member of the group.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 59

Elimination of intra-group transactions 1. In calculating the consolidated tax base, profits and losses arising from transactions directly carried out between members of a group shall be ignored. 2. For the purpose of determining whether there is an intra-group transaction, both parties to the transaction must be group members at the time that the transaction is effected and the associated revenues and expenses fall to be recognised. 3. Groups shall apply a consistent and adequately documented method for recording intra-group transactions. Groups may change the method only for valid commercial reasons, at the beginning of a tax year. 4. The method for recording intra-group transactions shall enable all intra-group transfers and sales to be identified at the lower of cost and value for tax purposes.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 60

~~Withholding and source taxation No withholding taxes or other source taxation shall be charged on transactions between members of a group.~~deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 61

Fixed assets on entering the group Where a taxpayer is the economic owner of non-depreciable or individually depreciable fixed assets on the date of its entry into a group and any of these assets are disposed of by a member of a group within five years of that date, an adjustment shall be made in the year of the disposal to the apportioned share of the group member that held the economic ownership over these assets on the date of entry. The proceeds of such disposal shall be added to that share and the costs relating to non-depreciable assets and the value for tax purposes of depreciable assets shall be deducted. Such an adjustment shall also be made in respect of financial assets with the exception of shares in affiliated undertakings, participating interests and own shares. If, as a result of a business reorganisation, the taxpayer no longer exists or no longer has a permanent establishment in the Member State in which it was resident on the date of its entry into the group, it shall be deemed to have a permanent establishment there for the purpose of applying the provisions of this Article.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 62

Long-term contracts on entering the group Revenues and expenses which accrued according to Articles 24(2) and (3) before a taxpayer entered the group but had not yet been included in the calculation of tax under the applicable national corporate tax law shall be added to, or deducted from the apportioned share in accordance with the timing rules of national law. Revenues which were taxed under the applicable national corporate tax law before a taxpayer entered the group in an amount higher than that which would have been charged under Article 24(2) shall be deducted from the apportioned share.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 63

Provisions and Deductions on entering the group Expenses covered by Articles 25, 26 and 27, which are incurred in relation to activities or transactions carried out before a taxpayer entered the group but for which no provision or deduction had been made under the applicable national corporate tax law shall be deductible only against the apportioned share of the taxpayer, unless they are incurred more than five years after the taxpayer enters the group.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 64

Losses on entering the group Unrelieved losses incurred by a taxpayer or a permanent establishment under the rules of this Directive or under national corporate tax law before entering a group may not be set off against the consolidated tax base. Such losses shall be carried forward and may be set off against the apportioned share in accordance respectively with Article 43 or with the national corporate tax law which would be applicable to the taxpayer in the absence of the system provided for by this Directive.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 65

Termination of a group When a group terminates, the tax year shall be deemed to end. The consolidated tax base and any unrelieved losses of the group shall be allocated to each group member in accordance with Articles 86 to 102, on the basis of the apportionment factors applicable to the tax year of termination.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 66

Losses after the group terminates Following termination of the group, losses shall be treated as follows: (a) if the taxpayer remains in the system provided for by this Directive but outside a group, the losses shall be carried forward and be set off according to Article 43; (b) if the taxpayer joins another group, the losses shall be carried forward and be set off against its apportioned share; (c) if the taxpayer leaves the system, the losses shall be carried forward and be set off according to the national corporate tax law which becomes applicable, as if those losses had arisen while the taxpayer was subject to that law.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 67

Fixed assets on leaving the group If non-depreciable or individually depreciable fixed assets, except for those which gave rise to a reduced exemption under Article 75, are disposed of within three years of the departure from the group of the taxpayer holding the economic ownership over these assets, the proceeds shall be added to the consolidated tax base of the group in the year of disposal and the costs relating to non-depreciable assets and the value for tax purposes of depreciable assets shall be deducted. The same rule shall apply to financial assets, with the exception of shares in affiliated undertakings, participating interests and own shares. To the extent to which the proceeds of disposal are added to the consolidated tax base of the group, they shall not otherwise be taxable.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 68

Self-generated intangible assets Where a taxpayer which is the economic owner of one or more self-generated intangible assets leaves the group, an amount equal to the costs incurred in respect of those assets for research, development, marketing and advertising in the previous five years shall be added to the consolidated tax base of the remaining group members. The amount added shall not, however, exceed the value of the assets on the departure of the taxpayer from the group. Those costs shall be attributed to the leaving taxpayer and shall be treated in accordance with national corporate tax law which becomes applicable to the taxpayer or, if it remains in the system provided for by this Directive, the rules of this Directive.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 69

~~Losses on leaving the group No losses shall be attributed to a group member leaving a group.~~deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 70

Business reorganisations within a group 1. A business reorganisation within a group or the transfer of the legal seat of a taxpayer which is a member of a group shall not give rise to profits or losses for the purposes of determining the consolidated tax base. Article 59(3) shall apply. 2. Notwithstanding paragraph 1, where, as a result of a business reorganisation or a series of transactions between members of a group within a period of two years, substantially all the assets of a taxpayer are transferred to another Member State and the asset factor is substantially changed, the following rules shall apply. In the five years that follow the transfer, the transferred assets shall be attributed to the asset factor of the transferring taxpayer as long as a member of the group continues to be the economic owner of the assets. If the taxpayer no longer exists or no longer has a permanent establishment in the Member State from which the assets were transferred it shall be deemed to have a permanent establishment there for the purpose of applying the provisions of this Article.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 71

Treatment of losses where a business reorganisation takes place between two or more groups 1. Where, as a result of a business reorganisation, one or more groups, or two or more members of a group, become part of another group, any unrelieved losses of the previously existing group or groups shall be allocated to each of the members of the latter in accordance with Articles 86 to 102, on the basis of the factors applicable to the tax year in which the business reorganisation takes place, and shall be carried forward for future years. 2. Where two or more principal taxpayers merge within the meaning of Article 2(a)(i) and (ii) of Council Directive 2009/133/EC19 , any unrelieved loss of a group shall be allocated to its members in accordance with Articles 86 to 102, on the basis of the factors applicable to the tax year in which the merger takes place, and shall be carried forward for future years.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 72

Exemption with progression Without prejudice to Article 75, revenue which is exempt from taxation under Article 11(c), (d) or (e) may be taken into account in determining the tax rate applicable to a taxpayer.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 73

Switch-over clause Article 11(c), (d) or (e) shall not apply where the entity which made the profit distributions, the entity the shares in which are disposed of or the permanent establishment were subject, in the entity's country of residence or the country in which the permanent establishment is situated, to one of the following: (a) a tax on profits, under the general regime in that third country, at a statutory corporate tax rate lower than 40% of the average statutory corporate tax rate applicable in the Member States; (b) a special regime in that third country that allows for a substantially lower level of taxation than the general regime. The average statutory corporate tax rate applicable in the Member States shall be published by the Commission annually. It shall be calculated as an arithmetic average. For the purpose of this Article and Articles 81 and 82, amendments to the rate shall first apply to taxpayers in their tax year starting after the amendment.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 74

Computation of income of a foreign permanent establishment Where Article 73 applies to the income of a permanent establishment in a third country, its revenues, expenses and other deductible items shall be determined according to the rules of the system provided for by this Directive.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 75

Disallowance of exempt share disposals Where, as a result of a disposal of shares, a taxpayer leaves the group and that taxpayer has within the current or previous tax years acquired in an intra- group transaction one or more fixed assets other than assets depreciated in a pool, an amount corresponding to those assets shall be excluded from the exemption unless it is demonstrated that the intra-group transactions were carried out for valid commercial reasons. The amount excluded from exemption shall be the market value of the asset or assets when transferred less the value for tax purposes of the assets or the costs referred to in Article 20 relating to fixed assets not subject to depreciation. When the beneficial owner of the shares disposed of is a non-resident taxpayer or a non-taxpayer, the market value of the asset or assets when transferred less the value for tax purposes shall be deemed to have been received by the taxpayer that held the assets prior to the intra-group transaction referred to in the first paragraph.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 76

Interest and royalties and any other income taxed at source 1. Where a taxpayer derives income which has been taxed in another Member State or in a third country, other than income which is exempt under Article 11(c), (d) or (e), a deduction from the tax liability of that taxpayer shall be allowed. 2. The deduction shall be shared among the members of a group according to the formula applicable in that tax year pursuant to Articles 86 to 102. 3. The deduction shall be calculated separately for each Member State or third country as well as for each type of income. It shall not exceed the amount resulting from subjecting the income attributed to a taxpayer or to a permanent establishment to the corporate tax rate of the Member State of the taxpayer's residence or where the permanent establishment is situated. 4. In calculating the deduction, the amount of the income shall be decreased by related deductible expenses, which shall be deemed to be 2% thereof unless the taxpayer proves otherwise. 5. The deduction for the tax liability in a third country may not exceed the final corporate tax liability of a taxpayer, unless an agreement concluded between the Member State of its residence and a third country states otherwise.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 77

Withholding tax Interest and royalties paid by a taxpayer to a recipient outside the group may be subject to a withholding tax in the Member State of the taxpayer according to the applicable rules of national law and any applicable double tax convention. The withholding tax shall be shared among the Member States according to the formula applicable in the tax year in which the tax is charged pursuant to Articles 86 to 102.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 86

General principles 1. The consolidated tax base shall be shared between the group members in each tax year on the basis of a formula for apportionment. In determining the apportioned share of a group member A, the formula shall take the following form, giving equal weight to the factors of sales, labour and assets: formula 2. The consolidated tax base of a group shall be shared only when it is positive. 3. The calculations for sharing the consolidated tax base shall be done at the end of the tax year of the group. 4. A period of 15 days or more in a calendar month shall be considered as a whole month.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 87

Safeguard clause As an exception to the rule set out in Article 86, if the principle taxpayer or a competent authority considers that the outcome of the apportionment to a group member does not fairly represent the extent of the business activity of that group member, the principal taxpayer or the authority concerned may request the use of an alternative method. If, following consultations among the competent authorities and, where applicable, discussions held in accordance with Article 132, all these authorities agree to the alternative method, it shall be used. The Member State of the principal tax authority shall inform the Commission about the alternative method used.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 88

Entering and leaving the group Where a company enters or leaves a group during a tax year, its apportioned share shall be computed proportionately having regard to the number of calendar months during which the company belonged to the group in the tax year.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 89

Transparent entities Where a taxpayer holds an interest in a transparent entity, the factors used in calculating its apportioned share shall include the sales, payroll and assets of the transparent entity, in proportion to the taxpayer's participation in its profits and losses.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 90

Composition of the labour factor 1. The labour factor shall consist, as to one half, of the total amount of the payroll of a group member as its numerator and the total amount of the payroll of the group as its denominator, and as to the other half, of the number of employees of a group member as its numerator and the number of employees of the group as its denominator. Where an individual employee is included in the labour factor of a group member, the amount of payroll relating to that employee shall also be allocated to the labour factor of that group member. 2. The number of employees shall be measured at the end of the tax year. 3. The definition of an employee shall be determined by the national law of the Member State where the employment is exercised.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 91

Allocation of employees and payroll 1. Employees shall be included in the labour factor of the group member from which they receive remuneration. 2. Notwithstanding paragraph 1, where employees physically exercise their employment under the control and responsibility of a group member other than that from which they receive remuneration, those employees and the amount of payroll relating to them shall be included in the labour factor of the former. This rule shall only apply where the following conditions are met: (a) this employment lasts for an uninterrupted period of at least three months; (b) such employees represent at least 5% of the overall number of employees of the group member from which they receive remuneration. 3. Notwithstanding paragraph 1, employees shall include persons who, though not employed directly by a group member, perform tasks similar to those performed by employees. 4. The term ‘payroll’ shall include the cost of salaries, wages, bonuses and all other employee compensation, including related pension and social security costs borne by the employer. 5. Payroll costs shall be valued at the amount of such expenses which are treated as deductible by the employer in a tax year.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 92

Composition of the asset factor 1. The asset factor shall consist of the average value of all fixed tangible assets owned, rented or leased by a group member as its numerator and the average value of all fixed tangible assets owned, rented or leased by the group as its denominator. 2. In the five years that follow a taxpayer's entry into an existing or new group, its asset factor shall also include the total amount of costs incurred for research, development, marketing and advertising by the taxpayer over the six years that preceded its entry into the group.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 93

Allocation of assets 1. An asset shall be included in the asset factor of its economic owner. If the economic owner cannot be identified, the asset shall be included in the asset factor of the legal owner. 2. Notwithstanding paragraph 1, if an asset is not effectively used by its economic owner, the asset shall be included in the factor of the group member that effectively uses the asset. However, this rule shall only apply to assets that represent more than 5% of the value for tax purposes of all fixed tangible assets of the group member that effectively uses the asset. 3. Except in the case of leases between group members, leased assets shall be included in the asset factor of the group member which is the lessor or the lessee of the asset. The same shall apply to rented assets.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 94

Valuation 1. Land and other non-depreciable fixed tangible assets shall be valued at their original cost. 2. An individually depreciable fixed tangible asset shall be valued at the average of its value for tax purposes at the beginning and at the end of a tax year. Where, as a result of one or more intra- group transactions, an individually depreciable fixed tangible asset is included in the asset factor of a group member for less than a tax year, the value to be taken into account shall be calculated having regard to the whole number of months. 3. The pool of fixed assets shall be valued at the average of its value for tax purposes at the beginning and at the end of a tax year. 4. Where the renter or lessee of an asset is not its economic owner, it shall value rented or leased assets at eight times the net annual rental or lease payment due, less any amounts receivable from sub- rentals or sub-leases. Where a group member rents out or leases an asset but is not its economic owner, it shall value the rented or leased assets at eight times the net annual rental or lease payment due. 5. Where, following an intra-group transfer in the same or the previous tax year, a group member sells an asset outside the group, the asset shall be included in the asset factor of the transferring group member for the period between the intra-group transfer and the sale outside the group. This rule shall not apply where the group members concerned demonstrate that the intra- group transfer was made for genuine commercial reasons.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 95

Composition of the sales factor 1. The sales factor shall consist of the total sales of a group member (including a permanent establishment which is deemed to exist by virtue of the second subparagraph of Article 70(2) as its numerator and the total sales of the group as its denominator. 2. Sales shall mean the proceeds of all sales of goods and supplies of services after discounts and returns, excluding value added tax, other taxes and duties. Exempt revenues, interest, dividends, royalties and proceeds from the disposal of fixed assets shall not be included in the sales factor, unless they are revenues earned in the ordinary course of trade or business. Intra-group sales of goods and supplies of services shall not be included. 3. Sales shall be valued according to Article 22.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 96

Sales by destination 1. Sales of goods shall be included in the sales factor of the group member located in the Member State where dispatch or transport of the goods to the person acquiring them ends. If this place is not identifiable, the sales of goods shall be attributed to the group member located in the Member State of the last identifiable location of the goods. 2. Supplies of services shall be included in the sales factor of the group member located in the Member State where the services are physically carried out. 3. Where exempt revenues, interest, dividends and royalties and the proceeds from the disposal of assets are included in the sales factor, they shall be attributed to the beneficiary. 4. If there is no group member in the Member State where goods are delivered or services are carried out, or if goods are delivered or services are carried out in a third country, the sales shall be included in the sales factor of all group members in proportion to their labour and asset factors. 5. If there is more than one group member in the Member State where goods are delivered or services are carried out, the sales shall be included in the sales factor of all group members located in that Member State in proportion to their labour and asset factors.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 97

Rules on calculation of factors The Commission may adopt acts laying down detailed rules on the calculation of the labour, asset and sales factors, the allocation of employees and payroll, assets and sales to the respective factor and the valuation of assets. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 131(2).deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 98

Financial institutions 1. The following entities shall be regarded as financial institutions: (a) credit institutions authorised to operate in the Union in accordance with Directive 2006/48/EC of the European Parliament and of the Council20 ; (b) entities, except for insurance undertakings as defined in Article 99, which hold financial assets amounting to 80% or more of all their fixed assets, as valued in accordance with the rules of this Directive. 2. The asset factor of a financial institution shall include 10% of the value of financial assets, except for participating interests and own shares. Financial assets shall be included in the asset factor of the group member in the books of which they were recorded when it became a member of the group. 3. The sales factor of a financial institution shall include 10% of its revenues in the form of interest, fees, commissions and revenues from securities, excluding value added tax, other taxes and duties. For the purposes of Article 96(2), financial services shall be deemed to be carried out, in the case of a secured loan, in the Member State in which the security is situated or, if this Member State cannot be identified, the Member State in which the security is registered. Other financial services shall be deemed to be carried out in the Member State of the borrower or of the person who pays fees, commissions or other revenue. If the borrower or the person who pays fees, commissions or other revenue cannot be identified or if the Member State in which the security is situated or registered cannot be identified, the sales shall be attributed to all group members in proportion to their labour and asset factors.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 99

Insurance Undertakings 1. The term ‘insurance undertakings’ shall mean those undertakings authorised to operate in the Member States in accordance with Directive 73/239/EEC for non-life insurance, 2002/83/EC for life insurance and Directive 2005/68/EC for reinsurance. 2. The asset factor of insurance undertakings shall include 10% of the value of financial assets as provided for in Article 98(2). 3. The sales factor of insurance undertakings shall include 10% of all earned premiums, net of reinsurance, allocated investment returns transferred from the non-technical account, other technical revenues, net of reinsurance, and investment revenues, fees and commissions, excluding value added tax, other taxes and duties. For the purposes of Article 96(2), insurance services shall be deemed to be carried out in the Member State of the policy holder. Other sales shall be attributed to all group members in proportion to their labour and asset factors.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 100

Oil and gas Notwithstanding Article 96(1), (2) and (3), sales of a group member conducting its principal business in the field of the exploration or production of oil or gas shall be attributed to the group member in the Member State where the oil or gas is to be extracted or produced. Notwithstanding Article 96(4) and (5), if there is no group member in the Member State of exploration or production of oil and gas or the exploration or production takes place in a third country where the group member which carries on the exploration or production of oil and gas does not maintain a permanent establishment, the sales shall be attributed to that group member.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 101

Shipping, inland waterways transport and air transport The revenues, expenses and other deductible items of a group member whose principal business is the operation of ships or aircraft in international traffic or the operation of boats engaged in inland waterways transport shall not be apportioned according to the formula referred to in Article 86 but shall be attributed to that group member. Such a group member shall be excluded from the calculation of the apportionment formula.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 102

Items deductible against the apportioned share The apportioned share shall be adjusted by the following items: (a) unrelieved losses incurred by a taxpayer before entering the system provided for by this Directive, as provided for in Article 64; (b) unrelieved losses incurred at the level of the group, as provided for in Article 64 in conjunction with Article 66(b) and in Article 71; (c) the amounts relating to the disposal of fixed assets as provided for in Article 61, revenues and expenses related to long- term contracts as provided for in Article 62 and future expenses as provided for in Article 63; (d) In the case of insurance undertakings, optional technical provisions as provided for in Article 30(c); (e) the taxes listed in Annex III where a deduction is provided for under national rules.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 103

Tax liability The tax liability of each group member shall be the outcome of the application of the national tax rate to the apportioned share, adjusted according to Article 102, and further reduced by the deductions provided for in Articles 76.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 104

Notice to opt 1. A single taxpayer shall opt for the system provided for by this Directive by giving notice to the competent authority of the Member State in which it is resident or, in respect of a permanent establishment of a non-resident taxpayer, that establishment is situated. In the case of a group, the principal taxpayer shall give notice, on behalf of the group, to the principal tax authority. Such notice shall be given at least three months before the beginning of the tax year in which the taxpayer or the group wishes to begin applying the system. 2. The notice to opt shall cover all group members. However, shipping companies subject to a special taxation regime may be excluded from the group. 3. The principal tax authority shall transmit the notice to opt immediately to the competent authorities of all Member States in which group members are resident or established. Those authorities may submit to the principal tax authority, within one month of the transmission, their views and any relevant information on the validity and scope of the notice to opt.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 105

Term of a Group 1. When the notice to opt has been accepted, a single taxpayer or a group, as the case may be, shall apply the system provided for by this Directive for five tax years. Following the expiry of that initial term, the single taxpayer or the group shall continue to apply the system for successive terms of three tax years unless it gives notice of termination. A notice of termination may be given by a taxpayer to its competent authority or, in the case of a group, by the principal taxpayer to the principal tax authority in the three months preceding the end of the initial term or of a subsequent term. 2. Where a taxpayer or a non-taxpayer joins a group, the term of the group shall not be affected. Where a group joins another group or two or more groups merge, the enlarged group shall continue to apply the system until the later of the expiry dates of the terms of the groups, unless exceptional circumstances make it more appropriate to apply a shorter period. 3. Where a taxpayer leaves a group or a group terminates, the taxpayer or taxpayers shall continue to apply the system for the remainder of the current term of the group.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 106

Information in the notice to opt The following information shall be included in the notice to opt: (a) the identification of the taxpayer or of the members of the group; (b) in respect of a group, proof of fulfilment of the criteria laid down in Articles 54 and 55; (c) identification of any associated enterprises as referred to in Articles 78; (d) the legal form, statutory seat and place of effective management of the taxpayers; (e) the tax year to be applied. The Commission may adopt an act establishing a standard form of the notice to opt. That implementing act shall be adopted in accordance with the examination procedure referred to in Article 131(2).deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 107

Control of the notice to opt 1. The competent authority to which the notice to opt is validly submitted shall examine whether, on the basis of the information contained in the notice, the group fulfils the requirements of this Directive. Unless the notice is rejected within three months of its receipt, it shall be deemed to have been accepted. 2. Provided that the taxpayer has fully disclosed all relevant information in accordance with Article 106, any subsequent determination that the disclosed list of group members is incorrect shall not invalidate the notice to opt. The notice shall be corrected, and all other necessary measures shall be taken, from the beginning of the tax year when the discovery is made. Where there has not been full disclosure, the principal tax authority, in agreement with the other competent authorities concerned, may invalidate the original notice to opt.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 108

Tax year 1. All members of a group shall have the same tax year. 2. In the year in which it joins an existing group, a taxpayer shall bring its tax year into line with that of the group. The apportioned share of the taxpayer for that tax year shall be calculated proportionately having regard to the number of calendar months during which the company belonged to the group. 3. The apportioned share of a taxpayer for the year in which it leaves a group shall be calculated proportionately having regard to the number of calendar months during which the company belonged to the group. 4. Where a single taxpayer joins a group, it shall be treated as though its tax year terminated on the day before joining.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 109

Filing a tax return 1. A single taxpayer shall file its tax return with the competent authority. In the case of a group, the principal taxpayer shall file the consolidated tax return of the group with the principal tax authority. 2. The return shall be treated as an assessment of the tax liability of each group member. Where the law of a Member State provides that a tax return has the legal status of a tax assessment and is to be treated as an instrument permitting the enforcement of tax debts, the consolidated tax return shall have the same effect in relation to a group member liable for tax in that Member State. 3. Where the consolidated tax return does not have the legal status of a tax assessment for the purposes of enforcing a tax debt, the competent authority of a Member State may, in respect of a group member which is resident or situated there, issue an instrument of national law authorising enforcement in the Member State. That instrument shall incorporate the data in the consolidated tax return concerning the group member. Appeals shall be permitted against the instrument exclusively on grounds of form and not to the underlying assessment. The procedure shall be governed by the national law of the relevant Member State. 4. Where a permanent establishment is deemed to exist pursuant to the third paragraph of Article 61, the principal taxpayer shall be responsible for all procedural obligations relating to the taxation of such a permanent establishment. 5. The tax return of a single taxpayer shall be filed within the period provided for in the law of the Member State in which it is resident or in which it has a permanent establishment. The consolidated tax return shall be filed in the nine months that follow the end of the tax year.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 110

Content of tax return 1. The tax return of a single taxpayer shall include the following information: (a) the identification of the taxpayer; (b) the tax year to which the tax return relates; (c) the calculation of the tax base; (d) identification of any associated enterprises as referred to in Article 78. 2. The consolidated tax return shall include the following information: (a) the identification of the principal taxpayer; (b) the identification of all group members; (c) identification of any associated enterprises as referred to in Article 78; (d) the tax year to which the tax return relates; (e) the calculation of the tax base of each group member; (f) the calculation of the consolidated tax base; (g) the calculation of the apportioned share of each group member; (h) the calculation of the tax liability of each group member.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 111

Notification of errors in the tax return The principal taxpayer shall notify the principal tax authority of errors in the consolidated tax return. The principal tax authority shall, where appropriate, issue an amended assessment according to Article 114(3).deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 112

Failure to file a tax return Where the principal taxpayer fails to file a consolidated tax return, the principal tax authority shall issue an assessment within three months based on an estimate, taking into account such information as is available. The principal taxpayer may appeal against such an assessment.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 113

Rules on electronic filing, tax returns and supporting documentation The Commission may adopt acts laying down rules on electronic filing, on the form of the tax return, on the form of the consolidated tax return, and on the supporting documentation required. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 131(2).deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 114

Amended assessments 1. In relation to a single taxpayer, audits and assessments shall be governed by the law of the Member State in which it is resident or in which it has a permanent establishment. 2. The principal tax authority shall verify that the consolidated tax return complies with Article 110(2). 3. The principal tax authority may issue an amended assessment not later than three years after the final date for filing the consolidated tax return or, where no return was filed before that date, not later than three years following issuance of an assessment pursuant to Article 112. An amended assessment may not be issued more than once in any period of 12 months. 4. Paragraph 3 shall not apply where an amended assessment is issued in compliance with a decision of the courts of the Member State of the principal tax authority according to Article 123 or with the result of a mutual agreement or arbitration procedure with a third country. Such amended assessments shall be issued within 12 months of the decision of the courts of the principal tax authority or the completion of the procedure. 5. Notwithstanding paragraph 3, an amended assessment may be issued within six years of the final date for filing the consolidated tax return where it is justified by a deliberate or grossly negligent misstatement on the part of a taxpayer, or within 12 years of that date where the misstatement is the subject of criminal proceedings. Such an amended assessment shall be issued within 12 months of the discovery of the misstatement, unless a longer period is objectively justified by the need for further inquiries or investigations. Any such amended assessment shall relate solely to the subject-matter of the misstatement. 6. Prior to issuing an amended assessment, the principal tax authority shall consult the competent authorities of the Member States in which a group member is resident or established. Those authorities may express their views within one month of consultation. The competent authority of a Member State in which a group member is resident or established may call on the principal tax authority to issue an amended assessment. Failure to issue such an assessment within three months shall be deemed to be a refusal to do so. 7. No amended assessment shall be issued in order to adjust the consolidated tax base where the difference between the declared base and the corrected base does not exceed the lower of EUR 5,000 or 1% of the consolidated tax base. No amended assessment shall be issued in order to adjust the calculation of the apportioned shares where the total of the apportioned shares of the group members resident or established in a Member State would be adjusted by less than 0.5%.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 115

Central data base The consolidated tax return and supporting documents filed by the principal taxpayer shall be stored on a central data base to which all the competent authorities shall have access. The central data base shall be regularly updated with all further information and documents and all decisions and notices issued by the principal tax authority.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 116

Designation of the principal taxpayer The principal taxpayer designated in accordance with Article 4(6) may not subsequently be changed. However, where the principal taxpayer ceases to meet the criteria in Article 4(6) a new principal taxpayer shall be designated by the group. In exceptional circumstances the competent tax authorities of the Member States in which the members of a group are resident or in which they have a permanent establishment may, within six months of the notice to opt or within six months of a reorganisation involving the principal taxpayer, decide by common agreement that a taxpayer other than the taxpayer designated by the group shall be the principal taxpayer.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 117

Record-keeping A single taxpayer and, in the case of a group, each group member shall keep records and supporting documents in sufficient detail to ensure the proper implementation of this Directive and to allow audits to be carried out.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 118

Provision of information to the competent authorities On a request from the competent authority of the Member State in which it is resident or in which its permanent establishment is situated, a taxpayer shall provide all information relevant to the determination of its tax liability. On a request from the principal tax authority, the principal taxpayer shall provide all information relevant to the determination of the consolidated tax base or of the tax liability of any group member.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 119

Request for an opinion by the competent authority 1. A taxpayer may request an opinion from the competent authority of the Member State in which it is resident or in which it has a permanent establishment on the implementation of this Directive to a specific transaction or series of transactions planned to be carried out. A taxpayer may also request an opinion regarding the proposed composition of a group. The competent authority shall take all possible steps to respond to the request within a reasonable time. Provided that all relevant information concerning the planned transaction or series of transactions is disclosed, the opinion issued by the competent authority shall be binding on it, unless the courts of the Member State of the principal tax authority subsequently decide otherwise pursuant to Article 123. If the taxpayer disagrees with the opinion, it may act in accordance with its own interpretation but must draw attention to that fact in its tax return or consolidated tax return. 2. Where two or more group members in different Member States are directly involved in a specific transaction or a series of transactions, or where the request concerns the proposed composition of a group, the competent authorities of those Member States shall agree on a common opinion.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 120

Communication between competent authorities 1. Information communicated pursuant to this Directive shall, to the extent possible, be provided by electronic means, through making use of the common communication network/common system interface (CCN/CSI). 2. When a competent authority receives a request for cooperation or exchange of information concerning a group member pursuant to Directive 2011/16/EU, it shall respond no later than in three months following the date of receipt of the request.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 121

Secrecy clause 1. All information made known to a Member State under this Directive shall be kept secret in that Member State in the same manner as information received under its domestic legislation. In any case, such information: (a) may be made available only to the persons directly involved in the assessment of the tax or in the administrative control of this assessment; (b) may in addition be made known only in connection with judicial proceedings or administrative proceedings involving sanctions undertaken with a view to, or relating to, the making or reviewing the tax assessment and only to persons who are directly involved in such proceedings; such information may, however, be disclosed during public hearings or in judgements if the competent authority of the Member State supplying the information raises no objection; (c) shall in no circumstances be used other than for taxation purposes or in connection with judicial proceedings or administrative proceedings involving sanctions undertaken with a view to, or in relation to, the making or reviewing the tax assessment. In addition, Member States may provide for the information referred to in the first subparagraph to be used for assessment of other levies, duties and taxes covered by Article 2 of Council Directive 2008/55/EC21 . 2. Notwithstanding paragraph 1, the competent authority of the Member State providing the information may permit it to be used for other purposes in the requesting State, if, under the legislation of the informing State, the information could, in similar circumstances, be used in the informing State for similar purposes.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 122

Audits 1. The principal tax authority may initiate and coordinate audits of group members. An audit may also be initiated on the request of a competent authority. The principal tax authority and the other competent authorities concerned shall jointly determine the scope and content of an audit and the group members to be audited. 2. An audit shall be conducted in accordance with the national legislation of the Member State in which it is carried out, subject to such adjustments as are necessary in order to ensure proper implementation of this Directive. 3. The principal tax authority shall compile the results of all audits.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 123

Disagreement between Member States 1. Where the competent authority of the Member State in which a group member is resident or established disagrees with a decision of the principal tax authority made pursuant to Articles 107 or Article 114 paragraphs (3), (5) or (6) second subparagraph, it may challenge that decision before the courts of the Member State of the principal tax authority within a period of three months. 2. The competent authority shall have at least the same procedural rights as a taxpayer enjoys under the law of that Member State in proceedings against a decision of the principal tax authority.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 124

Appeals 1. A principal taxpayer may appeal against the following acts: (a) a decision rejecting a notice to opt; (b) a notice requesting the disclosure of documents or information; (c) an amended assessment; (d) an assessment on the failure to file a consolidated tax return. The appeal shall be lodged within 60 days of the receipt of the act appealed against. 2. An appeal shall not have any suspensory effect on the tax liability of a taxpayer. 3. Notwithstanding Article 114(3), an amended assessment may be issued to give effect to the result of an appeal.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 125

Administrative appeals 1. Appeals against amended assessments or assessments made pursuant to Article 112 shall be heard by an administrative body which is competent to hear appeals at first instance according to the law of the Member State of the principal tax authority. If, in that Member State, there is no such competent administrative body, the principal taxpayer may lodge directly a judicial appeal. 2. In making submissions to the administrative body, the principal tax authority shall act in close consultation with the other competent authorities. 3. An administrative body may, where appropriate, order evidence to be provided by the principal taxpayer and the principal tax authority on the fiscal affairs of the group members and other associated enterprises and on the law and practices of the other Member States concerned. The competent authorities of the other Member States concerned shall provide all necessary assistance to the principal tax authority. 4. Where the administrative body varies the decision of the principal tax authority, the varied decision shall take the place of the latter and shall be treated as the decision of the principal tax authority. 5. The administrative body shall decide the appeal within six months. If no decision is received by the principal taxpayer within that period, the decision of the principal tax authority shall be deemed to have been confirmed. 6. Where the decision is confirmed or varied, the principal taxpayer shall have the right to appeal directly to the courts of the Member State of the principal tax authority within 60 days of the receipt of the decision of the administrative appeals body. 7. Where the decision is annulled, the administrative body shall remit the matter to the principal tax authority, which shall take a new decision within 60 days of the date on which the decision of the administrative body is notified to it. The principal taxpayer may appeal against any such new decision either pursuant to paragraph 1 or directly to the courts of the Member State of the principal tax authority within 60 days of receipt of the decision. If the principal tax authority does not take a new decision within 60 days, the principal taxpayer may appeal against the original decision of the principal tax authority before the courts of the Member State of the principal tax authority.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 126

Judicial appeals 1. A judicial appeal against a decision of the principal tax authority shall be governed by the law of the Member State of that principal tax authority, subject to paragraph 3. 2. In making submissions to the courts, the principal tax authority shall act in close consultation with the other competent authorities. 3. A national court may, where appropriate, order evidence to be provided by the principal taxpayer and the principal tax authority on the fiscal affairs of the group members and other associated enterprises and on the law and practices of the other Member States concerned. The competent authorities of the other Member States concerned shall provide all necessary assistance to the principal tax authority.deleted

2011/12/12
Committee: ECON

Danuta JAZŁOWIECKA

Proposal for a directive
Article 133 – paragraph 1

The Commission shall, five years after the entry into force of this Directive, review its application and report to the Council on the operation of this Directive. The report shall in particular include an analysis of the impact of the mechanism set up in Chapter XVI of this Directive on the distribution of the tax bases between the Member States. When reviewing this Directive, consideration should be in particular given to introduction of an obligatory system of Common Corporate Tax Base.

2011/12/12
Committee: ECON

Activities of Danuta JAZŁOWIECKA related to 2011/0058(CNS)

Plenary speeches (1)

Amendments (86)

ParlTrack - 2011-2024