Anti-Abuse Rules in International Tax Law and their Interactions

S. 981. Introduction: scope and relevance of the research

In the complex realm and evolving landscape of international taxation, the implementation and enforcement of anti-abuse rules are paramount.

One of the critical aspects of anti-abuse rules is the allocation of the burden of proof. It is central to the efficacy of anti-abuse rules and is a topic of considerable debate. As there is no universally accepted rule or interpretation regarding the allocation of this burden, determining who bears the burden of proof in cases of abuse is critical and depends on the interpretation of the specific rule that is being applied.

The European Union with its commitment to fostering a single market and ensuring fair competition among Member States has placed significant emphasis on harmonizing tax policies and combating tax abuse. At the same time, there has been an increasing number of European Court of Justice (ECJ) decisions dealing with the question of whether (the absence of) domestic anti-tax avoidance legislation is acceptable from an EU law perspective based on the need to prevent tax avoidance. One of the important questions in this context is who should prove the existence or absence of abus...