Key practices: tax controversy and advisory boutique
Bjørnholm Law is a highly specialized boutique law firm. We assist in disputes with the Danish tax authorities, both prior to litigation and then throughout the appeals process, including where necessary employing mutual agreement procedures. Further, we offer advice on international taxation.
We assist both businesses and individuals in controversies with the Danish tax authorities. We provide advice from when the case is initiated by the Danish tax authorities until it is concluded, whether by agreement with the tax authorities or after an appeal process to the Danish courts and/or the European Court of Justice. We also assist with obtaining binding advanced rulings and applications to utilise mutual agreement procedures. Away from controversies, we also give strategic tax advice in particular with respect to cross-border tax issues.
That a case is winnable does not automatically entail that it is won. Bjørnholm Law is a leading firm when it comes to winning cases. This is because we are thorough, we form a clear strategy for the case, and our business is focused on tax controversies. We build excellent working relations with other advisors involved in our cases. All these factors ensure that the arguments presented are to the point and well considered.
We are currently involved in several transfer pricing disputes at all levels of the process and concerns issues such as business restructurings (closing businesses and transforming from fully fledged to limited risk), royalties and employee secondments. We are handling cases at the tax authority audit stage, cases at the administrative appeal stage, court cases and cases under mutual agreement procedure. Aside from transfer pricing the issues at stake in our current caseload include beneficial ownership; deduction of business expsenses, deduction of disgorgements and the treatment of trusts.
Corporate tax matters
In the spring of 2021 Bjørnholm Law prevailed in a High Court transfer pricing case with respect to a loss making company. The taxpayer prevailed in 2018 before the National Tax Tribunal, which inter alia ruled that the mere presence on the Danish market did not generate benefits for the wider group, that warranted a compensation to the Danish subsidiary. The Ministry of Taxation brought the matter before the ordinary courts requesting first instance proceedings before the High Court due to the principal nature of the dispute. The oral hearings were scheduled in the Spring of 2021 but shortly before the Ministry of Taxation decided to withdraw the appeal.