EYPE Watch | Latest developments and trends, May 2025
|Information Reporting, Information Repor ...|United States, Denmark, Luxembourg, Unit ...
PE case law
Luxembourg Court confirms nonrecognition of Malaysian PE
On 17 April 2025, the Luxembourg High Administrative Court published case 50602C, upholding the Luxembourg Tax Administration's decision to deny the recognition of a Malaysian permanent establishment (PE) claimed by a Luxembourg-resident company (Lux Co). The key issues before the court were whether the Malaysian branch had sufficient economic substance to qualify as a PE under the Luxembourg-Malaysia tax treaty and whether certa…