Keeping up with Tax Banking & Capital Markets - 2024 Autumn edition
Welcome to the autumn edition of Keeping up with Tax for Banking and Capital Markets!
To ensure you are well-informed before the festive season and its end-of-year networking events, our autumn edition highlights a range of current hot topics and the latest tax developments relevant to our industry. These issues deserve our attention in the coming months.
Specifically, the articles cover the following areas:
- New draft law brings several tax measures for individuals and companies
- The German Federal Fiscal Court rules in favour of French and Luxembourgish investment funds – Withholding tax refund plus interest payment granted
- EU’s ECOFIN Council releases updated list of non-cooperative jurisdictions for tax purposes
On top of these new hot topics of interest to our industry, please find at the end of this autumn edition, the latest trends and expectations for 2025.
Please get in touch with us or your regular PwC contacts if there is anything that you would like to discuss further. Please also let us know if there are any topics that you would like us to cover in upcoming editions.
Kind regards,
Murielle Filipucci and Nenad Ilic
New draft law brings several tax measures for individuals and companies
On 17 July 2024, the Luxembourg government submitted a draft law (n°8414, hereafter “the draft Law”) to Parliament, introducing several tax measures for individual taxpayers and companies. The aim of these measures is to strengthen the purchasing power of Luxembourg residents and cross-border employees, as well as the competitiveness of Luxembourg.
The German Federal Fiscal Court rules in favour of French and Luxembourgish investment funds – Withholding tax refund plus interest payment granted
Two important judgments (case numbers I R 1/20 and I R 2/20) on cases with a very similar factual background were published on 22 August 2024: Germany’s Federal Fiscal Court (the Supreme Court for tax cases) decided that the exclusion of foreign investment funds, which are comparable to German investment funds, from the tax exemption under the German Investment Tax Act 2004 violates the free movement of capital. Foreign investment funds can, therefore, claim a refund of dividend withholding tax if they are comparable to a domestic investment fund.
EU's ECOFIN Council releases updated list of non-cooperative jurisdictions for tax purposes
On 8 October 2024, the EU’s ECOFIN Council approved the latest list of non-cooperative jurisdictions for tax purposes. No countries were added to Annex I (the so-called blacklist). Annex II of the list (grey listed countries) was also updated with Antigua and Barbuda added, while Armenia and Malaysia have been removed from the grey list.
Latest trends and expectations for 2025
