Italian Supreme Court finds that a holding company without a business was the beneficial owner of dividends from an Italian sub
The Italian Supreme Court found that a French holding company sandwiched between a U.S. parent and an Italian subsidiary was the beneficial owner of dividends received by it from Italy notwithstanding that it had no business activity – which was inherent in its status as a holding company. What mattered was that its place of effective management was France, including that the main management and administrative decisions occurred there.
Neal Armstrong. Summary of Elio Andrea Palmitessa, "Italian Supreme Court Applies the Beneficial Ownership Clause to Pure Holding Companies," Tax Notes International, April 17, 2017, p. 259 under Treaties – Art. 10.