31 December 2023 Add expertise tag Add service tag Add country tag
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Tax facilities for income from a substantial shareholding

The Dutch Income Tax Act provides for various deferral and roll-over facilities for income from substantial shareholding.

Amongst others in the following situations the recognition of a capital gain (i.e. income originating from the alienation or deemed alienation of elements belonging to a substantial shareholding) can under certain conditions be deferred or rolled-over to the new owner of the shares/profit shares: 

  • transfer of ownership based on family law;
  • transfer of ownership based on inheritance law;
  • transfer of ownership as gift;
  • upon request of the taxpayer if he/she no longer has a substantial shareholding;
  • upon request of the taxpayer if there is a transfer of ownership as a consequence of a share merger, legal merger or legal demerger/split-off;
  • upon request of the taxpayer in case of a facilitated conversion of a corporation into a private enterprise.

In most cases it is possible to obtain an advance ruling from the Dutch tax office confirming that in a given situation the roll-over/ deferral facility applies or will apply.