By Hans Dahlberg
, Magnus Berlin
, Johan Karlbom
In view of the historic financial crisis which hit the world in 2008 and still affect us it was expected that disputes within the industry would increase.
Corporate income tax is based on the company’s worldwide taxable business income computed according to the accrual method of accounting. Dividends on shares held for business purposes are normally tax free.
Sweden has implemented new participation exemption rules, making Sweden a competitive country for the establishment of holding companies. In general capital gains on shares held for business purposes are exempt from capital gains taxation. The regime is based on the concept that dividends and capital gains on foreign participations are exempt from tax under the same conditions as capital gains and dividends related to Swedish shares.
In February this year, the Swedish Market Court delivered a historic judgement, declaring the Swedish general ban on commercial advertising of alcoholic beverages in periodicals incompatible with EU law. Since it is probably the first time in Swedish legal history that a legislative act has been ruled out by a supreme court, the judgement was followed by extensive coverage in Swedish and international press.
Recently, Skandia Insurance Company Ltd. (Skandia) has been the subject of a media debate about the findings from independent investigative panels.