Facts
The [X.] Ltd. was registered in the commercial register of Guernsey on 15 October 2002. The entire share capital of CHF 50 million was subscribed by [Y.] Holding AG. The tax administration of the canton of Zug notified the taxable factors to [Y.] Holding AG for the tax periods 2002 and 2003, adding the tax factors of [X.] Ltd. [Y.] Holding AG lodged an appeal and requested that [X.] Ltd. be recognized as a separate entity with its seat in Guernsey for tax purposes.
The tax administration registered [X.] Ltd. as a separate tax entity in the tax register of the canton of Zug and suspended the tax assessment proceedings concerning [Y.] Holding AG. [X.] Ltd. lodged an appeal against the tax assessment decisions and contested its tax liability in Switzerland.
The Administrative Court of the canton of Zug dismissed the appeal by [X.] Ltd. [X.] Ltd. lodged a complaint in public law matters and requested that the judgment of the Administrative Court be set aside.
Considerations
The Federal Court admitted the complaint in public law matters and considered the complainant to be entitled to lodge a complaint. The complaint was filed in a timely and formally correct manner.
The Federal Court found that the lower court had correctly presented the federal court's practice regarding the actual administration of a legal entity in Switzerland or in the canton of Zug and had drawn the correct conclusions from it. The complainant did not demonstrate…