On 10 October 2017, the EU Council approved a new system for resolving double taxation disputes between member states.
The directive strengthens the mechanisms used to resolve disputes that arise from the interpretation of agreements on the elimination of double taxation.
“This new system is a big improvement. It will encourage investment by creating a more favourable tax environment and reducing costs for businesses,” said Toomas Tõniste, minister for finance of Estonia, which currently holds the Council presidency.
The directive was adopted at a meeting of the Economic and Financial Affairs Council, without discussion. This follows an agreement at the Council’s meeting on 23 May 2017.