DEFINING THE ESSENCE OF THE TERMS “TAXPAYER”, “PERMANENT ESTABLISHMENT” AND “CORPORATE TAX” FOR PURPOSES OF THE ATAD
The directive no. 2016/1164/EU (“Anti-Tax Avoidance Directive” or “ATAD”) set out to establish a minimum standard of measures to combat tax evasion and abuse using “aggressive” tax planning schemes in both domestic and cross-border situations involving the Member States. In contradiction with the ATAD’s underlying objective to ensure fair and effective taxation within the EU in a sufficiently coherent and coordinated fashion, definitions for terms so fundamental as “taxpayer,” “permanent establishment” and “corporate tax” were not included. Presumably, their absence is prone to foster the evolvement of fragmented understanding among the Member States. This article aims to start filling this gap. Attention will be particularly drawn to ways of interpretation in accordance with earlier relevant directives to safeguard a uniform understanding for the purposes of EU corporate taxation law as a whole.
di Stefanie Geringer
Art. 1 Para. 1 of Directive no. 2016/1164/EU (“ATAD”) basically stipulates the anti-tax avoidance rules to be applied to “to all taxpayers that are subject to corporate tax in one or more Member States, including permanent establishments in one or more Member States of [continua ..]