09 December 2016 European Council achieves broad consensus on draft directive aimed at closing down hybrid mismatches with third country tax systems The Slovak Presidency of the Council of the European Union (EU) (the Council) on December 6, presented its compromise text (Presidency compromise) on the European Commission's (the Commission's) proposal for a Council Directive amending Directive (EU) 2016/1164 (the proposal) regarding hybrid mismatches with third countries (i.e., non-EU member states) (ATAD 2). During the meeting, the Economic and Financial Affairs Council of the European Union (ECOFIN or the Council) could not reach an agreement on the proposal but agreed to a stable text for most provisions, leaving just two issues to resolve: (i) rules that would allow member states to apply limited exemptions; and (ii) the date of implementation. A Tax Alert prepared by EY's Global Tax Desk Network, and attached below, provides additional details. Document ID: 2016-2093 |
