Merger of business
The Act provides for the consummation of a taxable merger with effect from a date that may be up to 6 months prior to the final adoption of the merger by the companies. Under company law, such a retroactive right to merge has existed for some time, but at the same time the possibility has been cut off due to tax legislation. In other words, a retroactive merger is now also being opened up for tax purposes.
Business Transformation and Transfer
At the same time, the practice already in place, which allows for the transfer of a personally owned business to the newly formed company of the owner, with up to 6 months retroactive effect, is enshrined. The same applies to the transfer of a business by a company to its newly formed subsidiary.
New 1 month deadline
It is generally made a condition that the owner, within one month after the foundation has taken place, submits a copy of the company law documents as well as documentation for notification to the Danish Business and Company Authority.
The purpose of this is to limit the period in which it is possible to speculate on the attribution of income and expenditure and to allow the tax authorities to intervene at an earlier stage if the dispositions made are indicative of tax evasion.
Entry into force
The Act came into force on 1 July 1999.
Disclaimer
The above information is for guidance purposes only, and we accept no responsibility for decisions made based on this information without prior individual advice. We accept no responsibility for errors or omissions.
Personer som tilbyder dette
Her kan du se hvilke skatteinform rådgivere som tilbyder dette som service område
