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Proposal for a COUNCIL DIRECTIVE on laying down rules on a debt-equity bias reduction allowance and on limiting the deductibility of interest for corporate income tax purposes

This proposed EU directive aims to equalize the tax treatment of debt and equity financing by introducing a notional interest deduction on increases in…

What Proposal for a COUNCIL DIRECTIVE on laying down rules on a debt-equity bias reduction allowance and on limiting the deductibility of interest for corporate income tax purposes requires

This proposed EU directive aims to equalize the tax treatment of debt and equity financing by introducing a notional interest deduction on increases in equity (Article 4) and a new limitation on interest deductibility (Article 6) for corporate income taxpayers in EU Member States.

Pillar: Tax & Transfer Pricing · Authority: European Commission · Version: 1.0.0 · Last updated:

Primary source: https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:52022PC0216

SHA-256 integrity: 9f71a8145a56c8d7f47055305ccec7c9e28715ca4d158a46b7befefbba951175

Primary Citations — 6 traced to source

  • Proposal for a COUNCIL DIRECTIVE COM(2022) 216 final, Article 1: Subject matter and scope
  • Proposal for a COUNCIL DIRECTIVE COM(2022) 216 final, Article 4: Allowance on equity

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