On Tuesday 2 July 2019, the Dutch Bill implementing the so-called Anti Tax Avoidance Directive II (ATAD II) was submitted to the Dutch parliament.
The Bill introduces measures countering the tax effects of "hybrid mismatches".
Such mismatches may result, for example, due to a difference in tax characterization of an entity or a financial instrument between the two countries. This may result in a deductible payment that is, however, not taxed at the level of the recipient. The Dutch ATAD II Bill aims to prevent this outcome.
The Bill therefore ensures that the EU Council Directive for the prevention of tax avoidance with regard to hybrid mismatches, ATAD II, is fully implemented into Dutch law.
Read more here.
Also see this PwC Netherlands Newsalert and PwC Tax Insight.
