Allocation of the losses of a tax-exempt foreign subsidiary to the "group leader"

The fact that a foreign group member is tax-exempt in his home country [in the case decided: limited liability company in the United Arab Emirates] does not prevent the allocation of the losses to the “group leader” in accordance with § 9 (1) KStG 1988. [VwGH (Highest Austrian Administrative Court) 20.10.2016, Ro 2014/13/0029]

• [„GmbH“ is a Austrian limited liability company; “KStG” is the Austrian Corporate Income Tax Act]