Tax Policy Alert: European Commission releases draft Directive proposing measures to prevent the misuse of shell entities for tax purposes

The European Commission has published the text of a draft Directive laying down rules to prevent the misuse of shell entities for tax purposes and to amend Directive 2011/16/EU on Administrative Cooperation (DAC). This proposed Directive, published on 22 December, provides indicators of minimum substance for undertakings in Member States and rules regarding the tax treatment of those undertakings that do not meet the indicators.