- On 13 March 2018, the EU Finance Ministers reached a political agreement on the Proposal for a Council Directive amending Directive 2011/16/EU as regards mandatory automatic exchange of information in the field of taxation in relation to reportable cross-border arrangements.
- The Directive Proposal aims at the disclosure, by EU intermediaries (such as lawyers, advisers, accountants), of potentially aggressive tax planning arrangements that have a cross-border dimension.
- A series of specific and general Hallmarks have been identified and defined in the proposal in order to aid the determination of reportable cross-border arrangements. However, the Directive proposal does not provide any precise definition of the concept of “potentially aggressive tax planning” and supplies a very broad definition of “cross-border arrangement”.
- Taxpayers that intend to invest abroad (within or outside the EU) or that are in the process of investing abroad should seek advice from their tax adviser in order to analyse the potential impact of the new reporting requirements on their investments.
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