| Author (Person) | Crawford, Leslie, Mulligan, Mark |
|---|---|
| Series Title | Financial Times |
| Series Details | 11.10.07 |
| Publication Date | 11/10/2007 |
| Content Type | News |
|
Spain’s biggest companies, which have been on an acquisition spree across Europe, may be obliged to pay back billions of euros in tax relief if the European Commission decides that Madrid’s generous tax treatment of foreign acquisitions amounts to illegal state aid. The European Commission has opened a formal investigation under EC Treaty state aid rules into a provision of the Spanish Corporate Tax Law that allows Spanish companies tax deductions deriving from acquiring a stake in non-Spanish companies. The scheme appears to establish an exception to the general Spanish tax system. The Commission is concerned that the scheme provides an advantage for Spanish companies acquiring foreign ones with respect to acquisitions of other Spanish companies. The opening of an investigation allows interested parties to comment on the measures under scrutiny. It does not prejudge the Commission’s final decision. |
|
| Related Links |
|
| Countries / Regions | Spain |
