Comparability of entities in outbound situations under European law 

For the application, in outbound situations, of Articles 48 and 63 of the Treaty on the Functioning of the European Union (“TFEU”) (regarding the freedom of establishment and the free movement of capital, respectively) it is important to establish whether a non-resident entity is in a similar situation to a resident entity in respect of  the application of Dutch law. The Dutch Revenue only has to apply a neutral tax treatment if a similar situation is involved. In recent years, the Corporate Income Tax Act 1969 (“CITA”) and the Dividend Withholding Tax Act 1965 (“DWTA”) have been amended as a result of European Court of Justice case law (“ECJ”.) on this matter. The Tax Plan 2012 has also provided for an amendment to the CITA on this matter.

These amendments often concern the comparability of resident and non-resident entities. This articles discusses the comparisons made between resident and non-resident entities in ECJ case law  and subsequently looks at a number of current amendments to Dutch tax legislation in relation to this case law. According to the Explanatory Notes to these amendments, they are a result of developments in European law. The author discusses these amendments in light of their comparability with current case law.
Original title: Vergelijkbaarheid van lichamen in outboundsituaties onder het Europees recht