On 9 June 2023, the Luxembourg tax administration (the LTA) issued circular L.I.R. n°168quater/1 (the Circular) providing long-awaited guidance on the application of article 168quater.
Michel Lambion and Frederic Scholtus of Deloitte Luxembourg consider the concept of independence for governance and tax, including the implications of a future CJEU ruling on whether directors act independently from a VAT viewpoint.
On 23 December 2022, the Luxembourg reverse hybrid rule provided by Article 168quater of the modified Luxembourg Income Tax Law ("Article 168quarter LITL") was officially amended with the passing.
Partner William Jean-Baptiste, senior associate Eleonore Galleron and associate Arthur Mendegris from our Luxembourg Tax team provide a critical analysis of the reasoning behind a recent decision.