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Towards a stronger enforcement of competition law in Luxembourg from 1 February 2012

May 2012 - EU & Competition. Legal Developments by Arendt & Medernach.

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Seeking to improve the efficiency of its Competition authority, the Grand Duchy of Luxembourg adopted last 23 October 2011 a new competition law.

New Germany - Luxembourg double tax treaty signed

May 2012 - Tax & Private Client. Legal Developments by Arendt & Medernach.

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On 23 April 2012, the Grand Duchy of Luxembourg and the Federal Republic of Germany signed a new double tax treaty (the "New Treaty") which will replace the double tax treaty currently in force dated 23 August 1958. The New Treaty basically follows the provisions of the OECD Model Tax Convention, but certain specific provisions have been added.

Tax Update April 2012

April 2012 - Tax & Private Client. Legal Developments by Arendt & Medernach.

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Our April tax update highlights the latest important changes in Luxembourg tax law, including the enactment of the law relaxing the conditions to be met in order to benefit from the SPF tax status. Other topics include inter alia recent case law on the exemption of income deriving from the sale of preferential subscription rights and the first decisions of the Luxembourg administrative courts relating to the exchange of information upon request based on the law of 31 March 2010.

Publication of the new law on SIFs

March 2012 - Finance. Legal Developments by Arendt & Medernach.

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The law of 26 March 2012 amending the law of 13 February 2007 relating to specialised investment funds (“SIFs”) was published today in the Mémorial A-063 and will enter into force on 1 April 2012. 

Consultation Paper - ESMA's guidelines on ETFs and other UCITS issues

March 2012 - Finance. Legal Developments by Arendt & Medernach.

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On 30 January 2011 ESMA released its consultation paper on draft guidelines for ETFs and other UCITS issues (ESMA/2012/44).

Aides d’État : Le nouveau paquet sur les Services d’intérêt économique général (« SIEG »

March 2012 - EU & Competition. Legal Developments by Arendt & Medernach.

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Les SIEG jouent un rôle majeur dans la cohésion sociale, économique et territoriale et dans le développement durable de l'Union Européenne (« UE »). Qu'ils soient assumés par des opérateurs publics ou privés, les services d'intérêt économique général ne peuvent pas être fournis dans des conditions économiquement acceptables sans compensation financière, compte tenu des obligations de service public (tarif abordable, service universel, ...) imposées par les autorités. Peuvent constituer des SIEG notamment les services postaux, l'approvisionnement en énergie, les télécommunications, les transports publics, les services sociaux (soins aux personnes âgées, ...). En outre, selon la Commission européenne (« Commission »), « la notion de SIEG est évolutive et est fonction, entre autres choses, des besoins des citoyens, des évolutions techniques et commerciales et des préférences sociales et politiques propres à chaque État membre »

Bill of law No. 6318 amending the Luxembourg law of 13 February 2007 on specialised investment funds

March 2012 - Finance. Legal Developments by Arendt & Medernach.

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On 6 March 2012, the Luxembourg Parliament passed bill of law No. 6318 (the "Law") amending the Luxembourg law of 13 February 2007 on specialised investment funds. The Law foresees several important changes to the regime governing specialised investment funds or "SIFs", one of Luxembourg's most popular collective investment schemes among fund initiators and sophisticated investors, as evidenced by the almost 1,400 structures currently in existence. The SIF's success is based on the product's features which combine prudential supervision with a multipurpose and flexible legal and regulatory regime.

LUXEMBOURG TRANSFER PRICING RULES FOR INTRA-GROUP FINANCING TRANSACTIONS

March 2012 - Finance. Legal Developments by Arendt & Medernach.

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Luxembourg has traditionally been a hub for intra-group financing transactions. In 2011, new transfer pricing guidelines, following the OECD standards, were introduced in order to clarify the administrative practise and further strengthen Luxembourg's position in this respect.