Court of Appeals: Spanish withholding tax not creditable against Luxembourg municipal business tax – Luxembourg-Spain treaty On 17 January 2006, the Court of Appeals of Luxembourg (Case No 20316/C) overturned an earlier decision of the Luxembourg Administrative Court (Tribunal administratif du Grand-Duché Luxembourg) of 11 July 2005 on the credit of foreign withholding tax against Luxembourg municipal business tax. Details of the decision are summarized below. (a) Facts. The taxpayer was a Luxembourg company (X S.A.), which in 1998 received interest from Spanish sources. Based on Art. 24(1)(b) of the Luxembourg-Spain tax treaty on income and capital of 3 June...