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  • As if they were not aware already, taxpayers have been told that courts in the EU will come down hard on tax planning that does not have a business objective.
  • The WTO's Appellate Body has upheld the EU's complaint that the US is continuing to maintain foreign sales corporation and extra-territorial income subsidies that the WTO has previously declared illegal.
  • The UK House of Lords decided that the compensation that a UK subsidiary of Pirelli, an Italian company, received for the advance corporation tax it paid on dividends paid to its parent should take into account the amount of tax credits received under the UK-Italy double tax treaty.
  • Axa Asia Pacific is suing the Australian Taxation Office (ATO) over a A$127 million ($94 million) tax bill. The dispute originated from the ATO's treatment of the financial services company's income after the sale of Axa's health insurance business in 2002. Axa is now requesting that the court either reverses the authority's decision or reduces the company's taxable income for 2002 by A$383.1 million
  • The introduction of a flat tax in other parts of Europe should make the authorities consider the benefits of bringing the concept to Switzerland, believes Andrin Waldburger of PricewaterhouseCoopers
  • Reto Savoia and Stefan Kuhn of Deloitte discuss certain key aspects of M&A transactions/leveraged buy-outs in Switzerland in light of the current tax environment
  • Switzerland's tax regime has a lot of advantages for any multinational corporation thinking of locating a headquarters there, explain Thierry Sauvaire and Andreas Müller of KPMG
  • Freedom of establishment – Tax legislation – Tax on company profits.