Rachel Warren

Mar 13, 2024 | solicitorsjournal.com | Hugh Gunson |Stewart Hey |Rachel Warren

Readers will no doubt be familiar with the cum-ex tax fraud scandal that has been making waves across Europe (see, for example, our recent article The cum-ex scandal explained: the enforcement net widens). There is another related, but different, potential scandal on the horizon, involving another type of trading strategy commonly known as ‘cum-cum’ (Latin for ‘with-with’). The sums involved have been said to dwarf even those at stake in relation to cum-ex.

Feb 2, 2024 | solicitorsjournal.com | Hugh Gunson |Rachel Warren |Stewart Hey

The cum-ex scandal has been making headlines for years. As distinct from the parallel cum-cum dividend frauds, the practice involved the trading of shares for the purpose of claiming multiple refunds of the same withholding tax; and the sums involved are huge. However, what started as an issue in Germany, Denmark, Italy and France, is now spilling over into other jurisdictions, including the UK and US. The sums involved are eye watering.