A Spanish manufacturer paid royalties to a Dutch group entity and claimed exemption from withholding tax under the EU Interest and Royalties Directive. The Spanish tax authorities denied the exemption, finding the Dutch company lacked beneficial ownership and served merely as a conduit for a Curaçao entity. Spain's Supreme Court upheld the authorities' position in January 2026, rejecting both the Directive exemption and treaty relief arguments advanced by the taxpayer ... Read more

A Czech television content provider paid licence fees to intermediary companies in a distribution chain. The tax authority denied double tax treaty benefits, finding that YOLT Services had not established beneficial owner status for the ultimate recipients of the fees. The Czech Supreme Administrative Court upheld the authority's position in December 2025, confirming the burden of proof rests with the taxpayer claiming treaty relief ... Read more

An Italian company paid interest to a Luxembourg finance vehicle and claimed withholding tax exemption under EU Directive 2003/49/EC. Italian tax authorities denied the exemption, arguing the Luxembourg entity was a conduit lacking beneficial ownership. The Supreme Court dismissed the authorities' appeal in February 2025, applying a three-step beneficial ownership analysis focusing on contractual obligations, functional substance, and OECD-benchmarked margins ... Read more

A Polish company failed to withhold tax on interest paid to a Dutch group entity on loans funded through a chain of French, Luxembourg, US, and Canadian affiliates. The tax authority determined the Dutch company was merely an intermediary and not the beneficial owner, denying treaty and directive benefits. Poland's Supreme Administrative Court sided with the authority and remanded the case for re-examination in 2024 ... Read more

A Czech subsidiary paid royalties to an Irish group company, which was contractually obliged to pass most of those payments to its US parent. The Czech tax authority assessed additional withholding tax, arguing the US parent was the true beneficial owner of the royalties. The Supreme Administrative Court upheld that assessment in February 2024, confirming the Irish intermediary lacked beneficial ownership under the EU Interest and Royalties Directive and the OECD Model Tax Convention ... Read more

A Polish company sought a binding ruling on the tax consequences of intra-group loan arrangements with its Luxembourg shareholder and Polish subsidiaries. The tax authority denied the request, finding the back-to-back structure was artificial and the Luxembourg entity acted merely as a passive intermediary. The Polish Administrative Court dismissed the appeal in January 2024, upholding the authority's position in full ... Read more

A Polish real estate company paid interest on a loan from a related Romanian entity and sought favourable tax treatment. The tax authority denied the request, finding the Romanian lender lacked its own funds and passed interest income to a Malta-based group company, making it the true beneficial owner. Poland's Administrative Court dismissed the appeal in January 2024, upholding the authority's position ... Read more

A Czech distributor of TV programmes paid royalties to parent and subsidiary companies in Romania, Hungary, and Slovakia, which were contractually obliged to pass payments on to programme producers. The tax authorities assessed withholding tax, arguing the producers were the true beneficial owners. The Czech Regional Court agreed on beneficial ownership but remanded the case in 2023, ruling that correct withholding tax rates must follow the relevant double tax treaties of the producers' jurisdictions ... Read more