Print this page

Wednesday, 18 September 2019

Introduction withholding tax on interest and royalty payments

Amsterdam, 18 September 2019

In line with previous proposals, the Dutch Ministry of Finance announced to introduce a conditional withholding tax on interest and royalty payments as of 2021. Under the new Withholding Tax Act 2021 (“WHTA" ) a withholding tax will be levied on interest and royalty payments made to certain recipients: to corporate entities that (i) have control and (ii) are residing in a low-taxed jurisdiction. There will be an anti-abuse rule for conduit companies. The WHTA also contains other measures that will amend the Corporate Income Tax Act and the Dividend Withholding Tax Act.

To read the full article, please click here