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A newly established consultancy firm inquired whether it could be taxed at the 15% reduced rate during its initial financial years. The Directorate General of Taxes (DGT) ruled that this reduced rate cannot be applied because the company is considered part of a group, as it is controlled by an entity resident in the United Kingdom.
Companies controlled by foreign entities must carefully assess their group status to avoid incorrect application of reduced corporate tax rates.
The tax team reviews your specific situation.
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