Substance – What Directors need to know

Description

Substance requirements have always been an important issue for Luxembourg companies, which are often involved in cross-border business and investment activities. The importance of substance has only increased following the OECD's Base Erosion and Profit Shifting ("BEPS") project, and substance is frequently scrutinised by foreign tax authorities.
But what exactly is substance in international taxation? What is the importance of Luxembourg (professional) resident directors and good corporate governance? How can an appropriate level of substance be determined and how can substance be managed in practice? And what are the tactics of foreign tax authorities in challenging the substance of Luxembourg companies? All these questions will be answered in this presentation.

Target audience

The training is aimed at independent directors and people who wish to gain a clear understanding of substance requirements and how substance may be organised in practice (with a focus on Alternative Investments).

Course highlights

The main features of the program are:

Substance requirements: Analysing the reasons of substance requirements from a Luxembourg perspective, a foreign tax perspective, a tax treaty perspective, a transfer pricing perspective and a reputational risk perspective
Limits of anti-abuse legislation (substance requirements) in an EU context
Organisation of substance: Analysing how substance might be organised in practice (looking at different substance models) 
Tactics of foreign tax authorities when challenging substance
Considerations regarding the initiative of the EU Commission regarding shell entities (also referred to as “ATAD 3”)

Benefits of the program

The training will be practical and provide participants with a clear view on the intricate topic of substance.