Tag: Avon

American direct-selling company specialising in beauty, personal care, and household products, including cosmetics, skincare, fragrance, and fashion accessories. Sold through independent sales representatives worldwide, Avon operates as a global consumer goods group with subsidiaries across multiple continents.

Czech Republic vs Avon Cosmetics Ltd, February 2022, Municipal Court, Case No 6 Af 36/2020 - 42

Czech Republic vs Avon Cosmetics Ltd, February 2022, Municipal Court, Case No 6 Af 36/2020 – 42

/ Beneficial Owner, Royalty and License Payments, Withholding Tax (WHT), Article 12, Avon, Beneficial owner, Conduit, Royalty, Withholding tax
A Czech subsidiary of Avon Cosmetics Group paid royalties to its UK parent, Avon Cosmetics Limited, which applied for withholding tax relief. The Czech tax authorities denied relief, finding ACL was a conduit obliged to pass similar fees to US group companies and therefore not the beneficial owner. In February 2022, the Czech Municipal Court upheld the tax authority's decision and dismissed ACL's appeal ... Read more
Philippines vs Avon Products MFG., INC., January 2005, Tax Court, CTA CASE No. 5908

Philippines vs Avon Products MFG., INC., January 2005, Tax Court, CTA CASE No. 5908

/ Arm's Length Principle, Burden of Proof, Avon, Cosmetics, Domestic prices, Export prices, Internal CUP
Avon Products exported goods to related parties at prices below its domestic sales prices, prompting a transfer pricing adjustment by Philippine tax authorities. The company argued export and domestic markets were distinct, with different competitive dynamics and cost absorption benefits. The Philippines Tax Court ruled in favour of Avon in 2005, finding sufficient evidence to justify the pricing differential and shifting the burden of proof to the tax authority, which failed to support its assessment ... Read more