Mutual agreement procedure pursuant to Conv. 90/436/EEC

Our Law Firm assisted one of its clients, world leader in the air conditioning market, in tax litigation relating to a transfer pricing adjustment for transactions within the group.

After lodging an appeal, denouncing, among other things, the unreliability of the price comparison method applied in this case, due to the peculiar activities carried out by the foreign subsidiary in favour of the Group, and the absence of the tax advantage, given the non-existence of a significant gap between Italian and foreign tax burden, our Firm filed a petition for admission to the MAP under international law, which was successfully concluded.

In particular, the States granted the foreign affiliate the right to the reimbursement of taxes paid on intra-group transactions challenged in Italy.