- State Secretary published two policy decisions in December 2024 affecting VAT for holding companies
- Changes in VAT entrepreneurship and deduction of VAT on costs related to buying and selling shares
- New policy for holding companies expands VAT entrepreneurship
- Holding companies can deduct VAT on costs if they qualify as VAT entrepreneurs and perform VAT-taxable services
- Holding companies holding shares without economic activity are not eligible for VAT deduction
- Holding companies engaging in management of subsidiary, holding shares as extension of economic activity, or trading in shares are considered VAT entrepreneurs
- Trading in shares usually does not lead to issues with Tax Authorities, while management involvement or actions in the interest of the group may lead to discussions
Source: fiscaalvanmorgen.nl
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
