|
By Antonio WEFFER, tax Principal and Antonio MERINO, Tax Manager, Baker McKenzie Luxembourg
To make a long story short, article 80 of the EU VAT Directive introduced into Luxembourg law on 6 August 2018 will require transfer pricing provisions to be carefully observed when preparing the Luxembourg VAT returns. Therefore, Luxembourg taxpayers have to properly monitor and manage their performance, especially those related to multinational groups.
A new legal "dance floor" or landscape
Before the introduction of the new provisions, the sole reference to transfer pricing in the field of VAT was the arm's length principle under article 32 of the Luxembourg VAT Law regarding the exchange of...
|