European corporate group structures and financing : the impact of European Court decisions and European legislative developments

Legislative developments at the Community level regarding direct taxation seem to come at the same time or not at all. Thus far, there have been two groups of three, with an interval of more than a decade between them. The first group, adopted in 1990 and entering into force in 1992, consists of the Parent- Subsidiary Directive, the Merger Directive and the Arbitration Convention. The next group of three, comprising the Directive on Savings Income, the Interest and Royalties Directive and the Code of Conduct on Harmful Tax Competition, was adopted in June 2003. The second round of measures is examined, which, unlike the first group, takes place against a background of numerous decisions of the European Court of Justice applying the provisions of the EC Treaty on direct taxation and interpreting the existing direct tax measures