This 2 1/2 day intermediate course provides an overview of the tax planning goals and objectives of a multi-national group and an in-depth discussion on the use and taxation of EU holding companies (EHCs). The course deals with specific tax planning goals and objectives and how such objectives can be achieved through the use of global and EU based holding company structures. The course addresses the tax aspects to be taken into account when establishing and dealing with holding companies in Europe, sets forth the criteria to be used in evaluating and selecting a holding company location, and offers an overview of the domestic legislation of countries that are often used as a location to establish holding companies within Europe. The course will be taught by experienced international practitioners specialized in the field of tax planning.

After a general overview of the relevant tax aspects, the course addresses the technicalities of the widely used EU Directives and the impact of ECJ and domestic case law. Then the course covers holding companies regimes in Luxembourg and the Netherlands in-depth, and provides an overview of holding companies regimes in Cyprus, Spain, Switzerland and the UK. The course also examines the use of EHCs for financing and IP management activities of US multinational groups and focuses on the tax aspects to be taken into account by a US-based group in setting up its holding company in Europe. Finally, a case studies session will allow participants to apply the concepts discussed during the course.

Day 1

08.30 - 09.00 Registration

09.00 - 09.20 Welcome and IBFD Overview

09.20 - 11.00 Overview of Legal and Tax Aspects
(Harry Tonino, IBFD, the Netherlands)

• Goals and Objectives of Holding Company Structures
- Legal and Tax Considerations
- Emerging themes
• Selection of Holding Company Location
- Tax and Other Parameters
- Desired Attributes: a Wish-List
• Holding Company Foundational Structures

11.00 - 11.20 Break – Refreshments

11.20 - 12.45 Applicable EU Law
(Harry Tonino)

• Parent-Subsidiary Directive
• Interest and Royalties Directive
• ECJ Case Law

12.45 - 14.00 Lunch

14.00 - 15.20 Analysis of the Domestic Legislation – the Netherlands and Luxembourg
(Regina van der Kuip, PwC, the Netherlands and Valéry Civilio, PwC, Luxembourg)

• Attractiveness as a Holding Company Location
• Taxation of Dividends and Capital Gains
• Participation Exemption Requirements
• Taxation of interest income and Inter-group Financing
• Thin Capitalisation rules and Deductibility of Funding Costs
• Taxation of Foreign Exchange Gains & Losses
• Anti-avoidance / CFC Rules
• Taxation of Royalty Income and Inter-group Licensing
• Capital Duties and Other Indirect Taxes
• Withholding Taxes on Outbound Payments
• Double Tax Treaties in Force
• Accounting Requirements
• Unwind Considerations

15.20 - 15.40 Break – Refreshments

15.40 - 17.00 Analysis of the Domestic Legislation – the Netherlands and Luxembourg (continued)
(Regina van der Kuip and Valéry Civilio)


Day 2

09.00 - 11.00 Overview of the Domestic Legislation – Cyprus, Spain and Switzerland
(Regina van der Kuip – Cyprus, Valéry Civilio – Spain & Switzerland)

• Attractiveness as a Holding Company Location
• Taxation of Dividends and Capital Gains
• Participation Exemption Requirements
• Taxation of interest income and Inter-group Financing
• Thin Capitalisation rules and Deductibility of Funding Costs
• Taxation of Foreign Exchange Gains & Losses
• CFC Rules
• Taxation of Royalty Income and Inter-group Licensing
• Capital Duties and Other Indirect Taxes
• Withholding Taxes on Outbound Payments
• Double Tax Treaties in Force
• Accounting Requirements
• Unwind Considerations

11.00 - 11.20 Break – Refreshments

11.20 - 12.45 IP Management by Holding Companies
(Valéry Civilio and Regina van der Kuip)

• Combining holding with other activities
• Financing Structures
• IP Management Structures
• Current Developments

12.45 - 14.00 Lunch

14.00 - 15.20 Overview of the Domestic Legislation – United Kingdom
(Kannan Raman, Ernst & Young, United Kingdom)

• Attractiveness as a Holding Company Location
• Taxation of Dividends and Capital Gains
• Participation Exemption Requirements
• Taxation of interest income and Inter-group Financing
• Thin Capitalisation rules and Deductibility of Funding Costs
• Taxation of Foreign Exchange Gains & Losses
• CFC Rules
• Taxation of Royalty Income and Inter-group Licensing
• Capital Duties and Other Indirect Taxes
• Withholding Taxes on Outbound Payments
• Double Tax Treaties in Force
• Accounting Requirements
• Unwind Considerations

15.20 - 15.40 Break – Refreshments

15.40 - 17.00 Overview of the Domestic Legislation – United Kingdom (continued)
(Kannan Raman)


Day 3

09.00 - 10.40 Key Goals and Objectives for a US Multinational Group
(Kannan Raman)

• Overview of US Tax Drivers
• Global Tax Planning Goals, Objectives and Strategies
• Integrated Planning Models
• Sample global holding company structures

10.40 - 11.00 Break – Refreshments

11.00 - 12.30 Case Studies
(Kannan Raman)

Harry Tonino, IBFD, the Netherlands; Regina van der Kuip, PwC, the Netherlands and Valéry Civilio, PwC, Luxembourg; Kannan Raman, Ernst & Young, United Kingdom