“Not possible to say if there is profit shifting” to Luxembourg by banks: EU Tax Observatory
There is no evidence that banks are shifting profits to Luxembourg to dodge tax, one of the authors of a recent controversial report by the EU Tax Observatory has said. Yet if this is so, why does the think-tank label Luxembourg a “tax haven” for banks? We asked one of the report authors to explain.
Finance industry excluded from Covid-19 benefits
Financial and insurance businesses in Luxembourg have been denied access to the Covid-19 partial unemployment aid. They are probably also ineligible for the new package to support the economic recovery.
When Luxembourg implemented partial unemployment on 18 March to support companies and their employees impacted by the COVID-19 crisis, around 320 claims from financial and insurance institutions for a total of €47.7 million were rejected by the authorities.