Intellectual Property Income as “Per Se” Passive Income: A Comparative Analysis of Controlled Foreign Company Rules in the European Union before and after the Implementation of the Anti-Tax Avoidance Directive (2016/1164)

This article analyses the treatment of intellectual property income under EU controlled foreign company rules before and after the implementation of the Anti-Tax Avoidance Directive (2016/1164). It addresses the lack of common, operationalizable criteria to realize equality for digital businesses, and provides reform options, including the consideration of the OECD’s Pillar Two.