International business tax litigation: anticipating risk through tax strategy

Companies operating in several jurisdictions are exposed to specific tax risks: divergence of interpretation between states, challenge of a flow, qualification of a permanent establishment, withholding at source, transfer pricing or imperfect articulation between several tax treaties.

In this context, the best protection is not only the defence of a position once the dispute has arisen. It rests first on a international tax strategy, capable of anticipating friction points and preserving the economic efficiency of the operation.

Identify areas of tension before they become contentious

A cross-border operation can be perfectly legitimate while presenting several possible tax readings according to the relevant courts.

The strategic analysis is to identify these areas of tension, measure their financial impact and determine whether further structuring would lead to a more favourable tax result with a higher level of security.

This approach is particularly important in the case of acquisition, group reorganization, international establishment, intra-group financing or divestment.

Seeking fiscal performance without weakening the transaction

The firm's objective is to enable the company to carry out its projects with as efficient a tax burden as possible, in strict compliance with the legal framework.

This involves comparing several scenarios, identifying possible tax savings, assessing the robustness of each option and retaining an architecture that best protects the value created by the transaction.

The firm thus acts as a strategic tax partner, seeking concrete results of optimisation while integrating the risk of international challenge from the outset.

Master Édouard Pruvost specializes in consulting on international corporate tax strategy. To analyse a cross-border operation, identify the available optimisation levers and reduce exposure to future tax disputes, contact the firm to benefit from a personalised strategic advice.