Emma Hardwick and Michael McGowan Author Article for British Tax Review on the Impact of E.U. Law on Tax Groups or Fiscal Unities

December 22, 2014

In the 5th volume of the British Tax Review for 2014, Ms. Hardwick and Mr. McGowan authored the article, “SCA Group Holding BV, X AG and others, and MSA International Holdings BV and another – the CJEU considers the impact of EU law on the scope of tax groups or fiscal unities.” The article discusses the impact of E.U. law on rules enacted by Member States of the E.U. that treat groups of legally distinct companies as a single company for the purposes of tax law. The article considers in particular the impact of three recent cases in which the Court of Justice of the European Union examined the Netherlands fiscal unity rules. Following these cases, it seems to be a settled principle of E.U. law that Member States are not permitted to restrict group tax consolidation because parent entities or intermediate entities are established in another Member State.