Ms Kate Levey:

Provision is made for this in the directive. If the one-stop shop is to operate in respect of a company, that company's group must be paying corporation tax or filing its tax returns in one member state. There is provision within the directive for member states to work together. The competent authorities in each member state will have to work together if an audit of a company is required, for example. If there is a dispute in respect of the amount of tax paid in another member state, the competent authority in that member state will be able to request an amended tax assessment from the principal tax authority. The bottom line is that there will have to be a great deal of co-ordination and co-operation between the various member states in order for the one-stop shop concept to operate effectively.