Transaktioner mellem interesseforbundne parter

Kristian Skov & Niklas Hoff

Student thesis: Master thesis


Transactions between parties connected by common interests is of great interest to the taxation authorities, because the parties do not have opposite interests, which is the case when transactions between independent parties take place. To avoid an undermining of the basis for taxation in Denmark it is important for the taxations authorities to be entitled to correct transactions between parties connected by common interests, when the transactions are based on fiscal rather than normal economical considerations. This candidate dissertation is dealing with the options given by danish law to the taxation authorities to correct transactions between parties connected by interests. The dissertation first contains a theoretical analysis, which thoroughly investigates the legal authorities in the field. The predominant provision in this domain is section 2 in the danish law of assessment (Ligningslovens ยง 2), and therefore the dissertation contains a profound study of this section. The going through also enlightens the issue of who is affected by the provision and what constitutes a concrete transaction to make it affected by the law. The theoretical analysis furthermore examines the rights given to the taxation authorities to correct in cases not covered by section 2 in the law of assessment. Accordingly the dissertation not only covers cases where correction of terms caused by identical interests is taking place but also cases where a given transaction is changed by a correction of the disposition itself. In addition the dissertation shows how the fiscal corrections should be made in different situations in real life. This examination is widely supported by examples, and especially our practical analysis exemplifies how the corrections are made in real life cases. Our final conclusion states that the rights given to the taxation authorities to correct a transaction between parties with common interests consists of either a correction of the disposition itself or a correction of the terms of the transaction. Correction of terms implies a correction of the conditions of the transaction in accordance with the principles of arms length. A correction of disposition means that the legal content of the disposition is rejected. Furthermore we conclude, that the administrative practice of overruling unilateral dispositions from being affected by section 2 of the law of assessment is not in agreement with the intentions of the legislators.

EducationsMSc in Auditing, (Graduate Programme) Final Thesis
Publication date2008
Number of pages107