TAX LITIGATION

The global environment where Luxembourg is evolving is characterized by significant tax legislative developments notably increasing the information sharing between jurisdictions and new tax measures focusing on transparency. These measures impact the tax litigation practice and lead to a substantial increase of tax audits launched by local or foreign tax authorities putting in fine the taxpayers under pressure.

Taxpayers have to navigate in this ever-changing environment and are seeking external assistance to be in a position to anticipate and react in a timely manner, and make sure that their interests are properly represented.

Our dedicated Tax Litigation team, made up of experts in direct tax and VAT, has the expertise, the background and the diplomacy to best represent your interests during the following phases:

AUDIT RISK REVIEW PHASE

Assistance and preparation of due diligence and pre-audits to identify tax risks

This phase will be implemented out of any dispute and on a voluntary basis:

  • Assistance and preparation of due diligence and pre-audits to identify tax risks;
  • In-depth review of documentation (e.g. agreements, tax returns, invoices, etc.) from a direct tax and VAT perspective;
  • In-depth review of transfer pricing policies;
  • Assistance in the determination of the actions to be taken to solve identified risks;
  • Assistance in the filling of tax returns or amended tax returns when in the best interest of the company.

Our objective in the audit risk review phase is to support our clients in the identification of tax risks and the determination of the actions to be taken to better anticipate the future. 

AUDIT PHASE 

Analysis of information requests, tax assessments, tax statements, tax investigations, risk assessments and introduction of informal appeal procedures or suspensions of payment execution

This phase will be implemented upon request from the tax authorities and on a compulsory basis:

  • Analysis of information requests, tax assessments and tax statements;
  • Review of investigations launched by the tax authorities and risk assessments in light of the information available;
  • Preparation of tailored answers and representation of our clients to the tax authorities;
  • Liaison with the tax authorities in order to ensure follow-up and to answer any potential additional questions;
  • Review of the final decision made by the tax authorities and assessment of actions to be taken;
  • Assistance in the introduction of informal appeal procedures or suspensions of payment execution, if required.

CLAIM PHASE

Assistance in lodging and managing administrative claims to the various competent tax authorities to challenge tax assessments, administrative decisions or any act that can be challenged

This phase will be implemented when filling a hierarchical appeal to the tax authorities:

  • Assistance in lodging and managing administrative claims to the various competent tax authorities in order to challenge tax assessments, administrative decisions or any act that can be challenged;
  • Review of the final decision made by the direct tax and VAT authorities and assessment of actions to be taken.

LITIGATION PHASE

Assistance in the filing of a referral an appeal to the relevant Courts and defense of the client's interests

This phase will be implemented (in collaboration with lawyers when required):

  • Assistance in the filling of a referral/appeal to the relevant Courts;
  • Defense of the client’s interest in front of the relevant Courts; 
  • Review of the final decisions and their consequences, and when required, assistance to mitigate their effects on our clients.

Our objective in the audit, claim and the litigation phases is to determine a tax strategy with you to preserve the reputational and financial risks as well as to ensure a favorable resolution of the investigations.

CONTACT US

Jamal Afakir
Jamal Afakir
Partner - Head of International & Corporate Tax
jamal.afakir@atoz.lu

 

François-Paul Patin
François-Paul Patin
Director, International & Corporate Tax
francois-paul.patin@atoz.lu

Thibaut Boulange
Thibaut Boulange
Partner - Head of Indirect Tax
thibaut.boulange@atoz.lu

 

Silvin Leibengut
Silvin Leibengut
Director, Indirect Tax
silvin.leibengut@atoz.lu