Interest Deduction Limitations in Sweden Post-Lexel: The Relevance of the Free Movement of Capital

• In Lexel (Case C-484/19), the Swedish interest deduction limitation rules were found to be in breach of article 49 of the TFEU on the freedom of establishment, as they presumed abusive practices even in respect of arm’s length based transactions. The present article puts the case into context and highlights follow-up issues raised before lower Swedish tax courts in the context of loan transactions involving associated companies in third countries. Indeed, recent ECJ case law indicates that transactions between associated companies in the European Union and in third countries are protected under article 63 of the TFEU on the free of movement of capital.

Ämnesord

SAMHÄLLSVETENSKAP  -- Juridik -- Juridik (hsv//swe)

SOCIAL SCIENCES  -- Law -- Law (hsv//eng)

Nyckelord

C-484/19

Lexel

interest deduction limitations

ATAD

free movement of capital

Publikations- och innehållstyp

vet (ämneskategori)

art (ämneskategori)