Dutch plan to tax departing multinationals gains momentum
Andrew Parkes, National Technical Director, comments in relation to the news that a Dutch law that would hit multinationals leaving the Netherlands with billions in exit taxes is gaining political support.
Andrew’s comments were published in the Financial Times, 17 August 2020, and can be found here.
A Dutch law that would hit multinationals leaving the Netherlands with billions in exit taxes is gaining political support after Unilever warned it would have to reverse its decision to relocate from Rotterdam to the UK if the initiative passed.
Andrew Parkes, national technical director at tax consultants Andersen, said the exit tax would not survive a challenge at the European Court of Justice level, despite an earlier ECJ ruling that indicated EU countries could tax unrealised capital gains when a company moved its residency elsewhere within the bloc.
“It would be thrown out by the ECJ some time this decade. The issue would be, you pay the tax and then you argue about it,” said Mr Parkes.