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).
In ACN 093 117 232 Pty Ltd (In Liq) v Intelara Engineering Consultants Pty Ltd (In Liq) [2019] FCA 1489, the court considered whether a “legal phoenix” arrangement entered into after receiving professional advice was in fact a voidable transaction.
The facts
Intelara Pty Ltd (OldCo) operated an engineering consultancy business and after experiencing financial difficulties in 2014 sought professional advice concerning the potential restructure of the company.
In KSK Holdings (Australia) Pty Ltd (in liquidation) [2019] NSWSC 1463 a liquidator sought directions from the Supreme Court of New South Wales under section 90-15(1) of the Insolvency Practice Schedule (Corporations) at Schedule 2 of the Corporations Act 2001 (Cth).
In Clifton (Liquidator) v Kerry J Investment Pty Ltd trading as Clenergy [2020] FCAFC 5, the Full Court of the Federal Court of Australia found that:
In the context of the COVID-19 pandemic, many measures have already been taken to support the economy as much as possible during these turbulent times. It is already clear that the impact will be enormous and that the cash buffer built up by some companies will not be enough to survive this crisis. Measures such as deferrals on paying tax and social debts, temporary unemployment due to economic reasons and the Belgian State’s guarantee scheme for bank loans will not suffice for some.
Thomas Cook Belgium and Brussels Airlines may escape fines from the Belgian Competition Authority (BCA) notwithstanding the conclusion of an agreement providing for anticompetitive practices according to the Investigation and Prosecution Service of the Authority.
In August 2017, the BCA had opened an investigation into potential anticompetitive practices resulting from the conclusion of a "Commercial Service Agreement" between Thomas Cook Belgium and Brussels Airlines.
On 14 October 2019, the European Commission (“Commission”) approved the German rescue aid to charter airline Condor under the EU State Aid rules.
Condor is going through a difficult financial situation following the entry into liquidation of the Thomas Cook Group, its parent company. The charter airline is currently facing an acute liquidity shortage but also a loss of important claims against other member companies that it will not be able to collect.
Sedert 1 januari 2017 voorziet de wet uitdrukkelijk in een algemene mogelijkheid voor de Rijksdienst voor Sociale Zekerheid (“RSZ”) om onbetwiste geldschulden in te vorderen door middel van een dwangbevel.
Dit houdt in dat de RSZ zichzelf een uitvoerbare titel (een dwangbevel) kan verschaffen, zonder een omweg te maken via de arbeidsrechtbank.
De invordering via dwangbevel is mogelijk voor alle bijdragen, bijdrageopslagen, verwijlintresten en andere vergoedingen die aan de RSZ verschuldigd zouden zijn. Belangrijk is weliswaar dat het dient te gaan om schulden:
Two recent decisions have determined the applicability of security for payment legislation to insolvent contractors. One decided that the legislation does not apply to contractors in liquidation. The other decided that the legislation can be used by bankrupt contractors. At first glance, the decisions seem to be at odds, but on closer analysis the two decisions are not inconsistent.
You may recognise the quote in the title from the film "Ron Burgundy – Anchorman" about our favourite newsreader from San Diego in the 80's. Of course he was talking about a street fight with news teams from other San Diego stations but could just as easily been talking about the seemingly sudden financial demise of the Hanjin shipping line.