The Netherlands will postpone the deadlines for the DAC6 reporting obligation by 6 months. The notification obligation will take effect on 1 January 2021 (instead of 1 July 2020). The retroactive period will be maintained. This means that structures set up from 25 June 2018 must be reported.
The European Commission decided to allow EU member states to defer the deadline of filing information on potentially aggressive arrangements (DAC6) by up to 6 months. Please note that European member states may or may not follow the postponement.
The Dutch government announced a “no tax haven” requirement for companies receiving individual aid in view of the corona crisis. Applicants may not be established in listed low tax jurisdictions (the same applies for direct subsidiaries and major shareholders), nor make payments from the Netherlands to such countries. A 12-month term applies to meet this requirement.
The Supreme Court ruled that the transfer of a newly developed property two weeks after the start of the lease constitutes a transaction for VAT, and does not qualify as a transfer of a generality of goods (Article 37d).
The Dutch Supreme Court ruled that Fixed-to-Floating Perpetual Securities are treated as debt for Dutch tax purposes. The ruling confirms the clear rules around the qualification of debt, as formulated in earlier case law.
Commentary (in Dutch) to an interesting Dutch TP case (Hof Den Bosch, 13 maart 2020, ECLI:GHSHE:2020:968), published in NL Fiscaal 2020/1121). The case is about a business restructuring and the arm's length character of the conversion remuneration.
The European Commission proposes to grant a three-month extension for filing information about cross-border tax arrangements due to the corona virus. The due date would be Nov. 30 instead of Aug. 31.
The Dutch government will allow companies to form a ‘corona tax reserve’ in the year 2019. The reserve amounts to the expected 2020 loss as a result of the corona crisis and is maximized at the 2019 fiscal profit. As a result, a refund of corporate income tax relating to 2019 may be obtained quickly. This creates a liquidity advantage.
The Dutch Ministry of Economic Affairs published a letter with a broad view on improving the Dutch investment climate to keep and attract foreign businesses. The government targets all businesses that are willing to build a substantial presence in the Netherlands. Specific focus sectors include IT, Life Sciences & Health, AgriFood, High Tech Systems & Materials, Chemicals and (sustainable) Energy. The letter does not yet contain a response to the recent Report on the taxation of multinationals, but acknowledges the importance of a competitive and predictable tax system for maintaining an attractive Dutch investment climate.
Dutch Parliament adopted a resolution to amend the Dutch tax loss settlement rules in the context of the Covid-19 situation. Under the current loss settlement rules, 2019 profits can only be offset against 2020 tax losses when filing the 2020 corporate income tax return, i.e. earliest in 2021. Dutch Parliament requests the Dutch Government to allow the 2020 tax losses to be carried back already in the course of 2020 based on the estimated 2020 tax loss amount. If implemented, this would be a very welcome measure to improve liquidity of Dutch taxpayers affected by Covid-19 because the offset would result in a tax refund.