RECENT MATTERS HANDLED

The following examples illustrate our expertise in the non-profit sector:

• Income tax status
  The firm defended the European headquarters (located in Belgium) of a US non-profit organization against a challenge to their non-taxable status: the tax dispute was favorably solved by a ruling with the Belgian tax authorities.
  
  
• Educational organizations
  We acted as counsel to a training organization operating throughout Europe: advice on VAT aspects on educational services in the concerned countries, as well as solving income tax aspects (permanent establishment issues in these countries).
  
  
• Contribution of assets to a new foundation
  We advised a newly created private foundation in Belgium on the tax aspects (gift tax) of a contribution for free of assets.
  
  
• Social business centers
  We counseled a subsidized business center specialized in newly created enterprises and young people starting a business in Brussels. We investigated the possibility of using the legal form of “ASBL” (non profit association) or the “Société à finalité sociale” (company with social purpose) as vehicle for such a business center: legal and tax aspects.
  
  
• Transfer of liquidation proceeds
  We analyzed the legal and tax aspects of winding up a Belgian non-profit association, wishing to transfer the net assets after liquidation to a similar charity located in France.
  
  
• Tax litigation on cross-border legacies
  We advised a UK charity benefiting from a cross border legacy from Belgian source on whether and how the EU rules (non-discrimination) could be invoked to obtain tax relief in Belgium: preliminary study before bringing the case to justice.
  
  
• Database on cross-border philanthropy
  We assisted a foundation in the creation and the maintenance of an interactive online cross-border giving database, providing legal and tax information to potential donors, beneficiaries and intermediaries and covering 15 of the E.U. countries.
  
  
• Monitoring of recent legislative developments:
  
  - Consistency national legislation/EU rules
  
  We checked whether or not Belgian inheritance tax legislation (recently modified in the three regions) contains discriminations prohibited by EU rules. This recurrent task includes contacts with the European Authorities, bringing informal complaints to the European Commission and publishing articles on this topic. Recently we stressed that the amended legislation of Wallonia still does not comply with EU rules.
  
  - Regional legislation in Belgium
  
  We tracked down inconsistencies in the inheritance and gift tax legislation. Recently we brought to the attention of the Cabinet of the Ministry of Finance for the Brussels Region a mistake in the last version of art 140 of the registration tax code, as far as foundations of public interest are concerned and suggested to modify the legislation on this point.