ATAD II Implemented

LN 348 of 2019 published on 24 December 2019, implements the provisions of EC Directives 2016/1164 (ATAD I) and 2017/952 (ATAD II) concerning hybrid mismatches, revising the European Union Anti-Tax Avoidance Directives Implementation Regulations (LN 411 of 2018).

The amendments entered into effect on 1 January 2020, with the exception of the new regulation 10 concerning reverse hybrid mismatches which, as provided in terms of article 2(3) of Directive 2017/952, by derogation shall enter into force on 1 January 2022 (in this regard, it is noted that regulation 1(2) of the amending regulations has an erroneous cross-reference which, further to our exchanges with the Office of the Commissioner for Revenue, we understand is in the process of being rectified).