Tax Seminar Presentation 2022 - Unshell Directive

Unshell Directive - ATAD III

ATAD III, also called the Unshell Directive is dated December 22, 2021. It is to be implemented by June 30, 2023 and is effectice as of January 2024. Nevertheless, as a consequence of its testing mechanism, it effectively works back to 2022; hence it is relevant with immediate effect. It challenges shell companies, i.e. companies with limited or no substance and few economic activities. It will bring about enhanced exchanged of information, but also the denial of certificates of residence and the denial of reduction of withholding taxes. It comes on top of the GAARs of ATAD and the Parent-Subsidiary Directive and the PPT of tax treaties, and will affect the way how multinational enterprises of every size have organised themselves.