The new Decree on financial and operational lease has been published (effective per 1 January 2020). The Decree confirms that the tax authorities do not accept the IFRS 16 treatment of operational leases for Dutch tax purposes (in line with an earlier announcement). This generates a book-to-tax difference. For Dutch tax purposes, the yearly nominal operational lease expense is taken into account. Therefore, neither the lease asset and payment liability, nor the annual amortization and interest expenses are booked. This has an impact on the tax assets of a company, the earnings stripping rule and transfer pricing calculations.