Netherlands: Budget Day and tax measures for 2022

Corporate and individual income tax proposals as well as indirect and value added tax (VAT) provisions

Corporate and individual income tax proposals as well as indirect and VAT provisions

The government on Budget Day (21 September 2021) submitted to the lower house of Parliament the “Tax Plan” containing the tax measures for 2022.

There are corporate and individual income tax proposals as well as indirect and value added tax (VAT) provisions—including a simplified “one counter” system for e-commerce, real estate transfer tax relief for first-time buyers, and environmental tax measures—included in the Tax Plan for 2022.

With regard to corporate income tax, the proposals concern or address:

  • Mismatches in non-arm’s length transfer pricing
  • An announcement that consequences of Supreme Court judgment on concurrence of holding company losses and fiscal unity will be repaired by means of a “Memorandum of Amendment.”
  • Setting off foreign taxes in instances of multiple controlled entities
  • Introduce taxpayer status measure for reverse hybrid entities
  • Expanded scope of hybrid mismatch measures, to apply to mismatches with natural persons.

Read a September 2021 report [PDF 128 KB] prepared by the KPMG member firm in the Netherlands that provides a two-page overview of the tax measures

Read a September 2021 report [PDF 461 KB] prepared by the KPMG member firm in the Netherlands that provides more details about the tax measures

 

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