Commissioner unsuccessful in Mylan Part IVA decision

After dropping the transfer pricing argument in preference for Part IVA (and seeking to deny all interest deductions), the Commissioner has lost his second Part IVA argument in as many weeks, as outlined by Kristie Schubert, Luke Imbriano and Nathan Unitt.

The Court in Mylan considered the income tax treatment of related party debt provided by an offshore parent to an Australian holding company in association with the acquisition of a USD 6.7 billion third party generic pharmaceutical business in 2007. The Commissioner originally advanced his case in respect of the amended assessments on the basis of the transfer pricing (TP) and Part IVA provisions, however, the Commissioner dropped the TP arguments before trial, instead seeking to argue that...

Sign in below or register now to read the full article

Authors: Kristie Schubert, Luke Imbriano,

Published Date: 25 March 2024