Opposition member submits to Dutch parliament an amendment to his proposed “exit tax” for Dutch dividend withholding tax

News

18-09-2020

In response to a lot of criticism (including from EU tax experts) on the initiative legislative proposal introducing an exit tax for Dutch dividend withholding tax for certain cross-border reorganizations, the initiator submitted an amendment to Dutch parliament earlier today.

Tax

It remains uncertain whether a majority in Dutch parliament is in favour of this initiative.

The changes are:

for EU state aid reasons the scope is no longer limited to groups with a consolidated group revenue of at least EUR 750 million; and
retroactive effect has been changed to today, 18 September 2020, 12pm CET.

Further it was announced that payment of exit tax due will be automatically deferred (interest free) until and to the extent future dividend distributions will occur.

See our earlier Tax Flash for further background information.