Free movement of capital involves lowering, or completely removing, the restrictions and controls on funds moving between EU member states. It shares similarities with other freedoms, especially the freedom to establish and provide services. The aim of liberalisation is to enable integrated, open and efficient European financial markets.
For EU citizens, free movement of capital means the ability to carry out financial transactions in all EU member states, such as opening bank accounts, buying shares in non-domestic companies or purchasing property in another EU country.
For companies, it means being able to invest in other European companies, raise money in another country and distribute dividends, interest and licence payments without taxation at source.
We can provide expert advice on:
- Reviewing flows of capital in your group and advising if additional tax issues arise after Brexit
- Reviewing local taxation rules of EU countries where investments are held and identifying any future withholding tax issues
- Reviewing any double taxation treaties and advising on administrative issues
- Advising individuals on restrictions of moving capital between the UK and the EU and any tax issues that can potentially arise