Key takeaways

• The conclusion of two investigations into tax rulings granted to Starbucks (by the Netherlands) and Fiat (by Luxembourg) has generated significant media interest because it may result in each company’s being required to repay large sums of tax to the respective tax authorities. In this Client Update we:
  • summarise the two decisions and give an overview of the European regulatory environment from which the decisions have arisen; and
  • suggest practical steps that a company feeling nervous about its position in Europe, or that is considering investing into a European company, may wish to consider taking.