This briefing first appeared in the June 2020 edition of South Square Digest.

Executive Summary

In February 2020 the British Virgin Islands Commercial Court (the "BVI Court") sanctioned a creditor scheme of arrangement, which was part of a much larger cross boarder restructuring. This scheme of arrangement, which as a creditor scheme was itself rare for the BVI, was preceded by the BVI's first ever "soft touch" provisional liquidation (in linked proceedings), which commenced in December 2018.

Introduction
Solvency test
Standing and process
Purposes of administration
Effects of administration order
Administrator's duties and functions
Remuneration and swearing in of administrator

Introduction

In an application by Joint Official Liquidators for sanction of an agreement to sell the assets of a Company over the objections of creditors, the Court has confirmed the importance of establishing a clear and transparent sale process, which enjoys the confidence of the interested parties, in order to establish that the sale agreement is in the best interests of creditors.

Background

To tackle the Covid-19 pandemic crisis, three new measures to strengthen the liquidity and solvency of businesses in Belgium were submitted to the federal parliament in a draft bill on 5 June 2020.

1° Anticipated tax deduction of losses (individual income tax and non-resident individual income tax)

What is it about?

The taxable result generated in income year 2019 (tax assessment year 2020) can be exempt from tax up to the (estimated) professional losses to be suffered in income year 2020 (tax assessment year 2021).

Introduction
Local business
Regulated business
International business
Comment

Introduction

Introduction

Introduction

Introduction
Domestic business
Regulated and international business

Introduction