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Denmark: Denmark, U.K., Invoke Arbitration Convention in Thin Capitalization Dispute, 14 June 2006 - Danimarka
The Danish and U.K. tax authorities are turning to the EU Arbitration Convention to resolve a thin capitalization dispute involving a loan made by a Danish company to its U.K. subsidiary. The U.K. tax authorities, during the course of a tax audit, disallowed the loan interest expense of the U.K. subsidiary, saying the subsidiary was thinly capitalized. The interest income had already been included in the taxable profits of the Danish parent company.
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Global Transfer Pricing Alert
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Page Last Updated: June 16, 2006
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Source: Deloitte Touche Tohmatsu (English)
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©2012 Deloitte Türkiye.
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