CORIT Advisory has written a memorandum about crowdfunding and tax in Denmark. The memorandum illuminates several of the difficulties that limit crowdfunding in Denmark. We hope that the memorandum helps us to bring more focus on the regulatory environment on crowdfunding in a Danish perspective.
Read the memorandum here.
Jakob Bundgaard, Karsten Gianelli, Katja Joo Dyppel, Michael Tell and Peter Koerver Schmidt have participated in preparing a country chapter for Denmark concerning Tax Risk Management.
The chapter has been published on the IBFD Tax Research Platform as part of an e-book/database.
Read their contribution here.
Reglerne om den skattemæssige behandling i forbindelse med kriseramt virksomhed er ofte ganske komplicerede og bliver konstant ændret.
Vi vil derfor afholde et skatteseminar med fokus på muligheder og faldgruber ved rådgivning til kriseramt virksomhed.
Emnerne for seminaret vil være:
Seminaret vil blive afholdt hos CORIT Advisory i Lyngby i tidsrummet 13-16. Der vil være maksimalt 10 deltagere pr. seminar og vi har derfor foreløbig afsat følgende datoer: 3.4., 10.4. og 24.4.
Prisen for deltagelse vil være 2.200 kr. + moms og der vil naturligvis blive udstedt kursusbevis.
Har det interesse, så må du meget gerne give os en melding senest den 31.3. Tilmelding sker til Steffen Bonde Jensen (sbj@corit.dk).
Jakob Bundgaard comments on the draft proposal for an amended Parent-/Subsidiary Directive including the proposal for a general anti abuse provision.
Read the article here.
Karsten Gianelli has written an article about the latest administrative case law on shareholder loans.
He concludes that the Danish tax authorities use a very restrictive interpretation of the definition of a shareholder loan, presumably not consistent with the intention of the law.
Read the article here.
The article is written by Katja Dyppel, Jakob Bundgaard & Peter Koerver Schmidt.
Read the article here.
It has been decided to set up a central digital register for tax losses in Denmark in 2014 or 2015.
As part of the preparation of the establishment of a tax loss register the Danish tax minister has proposed new legislation concerning the registration of existing tax losses carried forward.
One important effect of the proposed legislation is that the tax losses carried forward will be forfeited if they are not timely registered.
1. Which entities?
The following entities will be obliged to make a separate report to the Danish Tax Authorities regarding the tax losses carried forward:
Individuals are not subject to the obligation to register tax losses.
2. What information to report?
The relevant corporations etc. must make a digital registration to the tax loss register of all tax losses carried forward at the time of registration.
Thus, the registration must include losses carried forward from the tax year 2002 and subsequent tax years ending prior to the registration date.
The registered tax losses must be allocated to each relevant tax year. However, a registration of the aggregated amount of tax losses may be registered if the periodization has no effect on the possible utilization of the losses, e.g. for corporations not included in a Danish tax consolidation with other entities.
Further, a separate registration must be made of all tax exempt restructurings (mergers, demergers and transfer of assets) for the period from 2002 and subsequent years, however, only with regard to restructurings resulting in a transfer of a tax loss from one entity to another.
3. Which entities are obliged to file?
All relevant corporations with losses carried forward must file the information to the tax loss register.
However, the information for all entities included in a Danish tax consolidation must be filed by the management company of the tax consolidated group.
4. When to file?
The information cannot be filed now as the tax loss register has not yet been established.
It is expected that the tax loss register will be operational in 2014 or 2015. At this time more detailed rules regarding the registration will be published, probably with a 3 months’ deadline for the digital registration of the required information. The registration period is expected to be carried in late 2014 or early 2015.
5. The effect of untimely registration?
Tax losses not registered within the deadline will be forfeited and cannot be utilized against future taxable income. Please note that this will also be the case even if the Danish Tax Authorities previously has received information regarding the losses in the filed tax returns.
If the aforementioned tax exempt restructurings are not registered within the deadline the transferred tax losses will be forfeited.
6. What to do now?
The proposal is expected to be adopted by the Danish parliament in a few months and the tax loss register is expected to be operational in 2014 or 2015.
Thus, the 3 months’ registration period will probably be in late 2014 or early 2015.
A correct registration at that time can only be made if the relevant entities has collected and produced the following information:
The collection of this information can often be quite time consuming. Thus, we recommend that the relevant entities initiate this process now in order to be able to file the relevant information within the deadline.
Read the article here.
Peter Koerver Schmidt has written an article on whether the Danish CFC rules are in conflict with the freedom of establishment despite the Danish reaction to C-196/04 Cadbury Schweppes.
The author concludes that the Danish CFC rules may still constitute a restriction on the freedom of establishment. Furthermore, he concludes that the reaction to Cadbury Schweppes and the recent ECJ case law has led to uncertainty on whether the Danish CFC rules can be justified.
Read the article here.
Here is what peers and clients said:
Joining the Danish market in January 2012, Corit Advisory is a boutique tax firm spearheaded by Jakob Bundgaard, who brings with him 13 years’ experience of the Danish tax market with Deloitte. They are a team with a high level of technical expertise, boasting four PhDs in tax law among their seven tax professionals, who were described as “extremely skilled advisers” by a client. Bundgaard is also an honorary professor of tax law at Aarhus University and was described as an “outstanding tax technician” by a Danish peer. The practice therefore prioritises technical competencies and specialises in complex, international tax matters.