{"id":7993,"date":"2020-01-13T11:38:33","date_gmt":"2020-01-13T10:38:33","guid":{"rendered":"https:\/\/www.everestnotariaat.com\/obligation-to-report-cross-border-constructions\/"},"modified":"2026-03-10T13:55:53","modified_gmt":"2026-03-10T13:55:53","slug":"obligation-to-report-cross-border-constructions","status":"publish","type":"post","link":"https:\/\/everestnotariaat.com\/en\/obligation-to-report-cross-border-constructions\/","title":{"rendered":"Obligation to report cross-border constructions"},"content":{"rendered":"<div class=\"et_pb_section_0 et_pb_section et_section_regular et_block_section\"><div class=\"et_pb_row_0 et_pb_row et_block_row\"><div class=\"et_pb_column_0 et_pb_column et_pb_column_4_4 et-last-child et_block_column et_pb_css_mix_blend_mode_passthrough\"><div class=\"et_pb_text_0 et_pb_text et_pb_bg_layout_light et_pb_module et_block_module\"><div class=\"et_pb_text_inner\"><p><em>On December 17<sup>th<\/sup>, 2019, the Senate adopted the bill for the implementation of the EU directive for reporting cross-border constructions. The bill requires intermediaries to report cross-border constructions that are used for tax avoidance to the Tax Authorities. <\/em><\/p>\n<\/div><\/div><\/div><\/div><div class=\"et_pb_row_1 et_pb_row et_block_row\"><div class=\"et_pb_column_1 et_pb_column et_pb_column_1_2 et_block_column et_pb_css_mix_blend_mode_passthrough\"><div class=\"et_pb_image_0 et_pb_image et_pb_module et_block_module\"><span class=\"et_pb_image_wrap\"><img decoding=\"async\" src=\"https:\/\/www.everestnotariaat.com\/wp-content\/uploads\/2019\/04\/marc-schulte-a2g3LM0cGFg-unsplash-1-scaled.jpg\" \/><\/span><\/div><div class=\"et_pb_text_1 et_pb_text et_pb_bg_layout_light et_pb_module et_block_module\"><div class=\"et_pb_text_inner\"><p>Cross-border constructions consist, for example, of structures that extend over several jurisdictions that are known for their favourable tax regimes or the reduction of the tax burden of a taxpayer. By introducing such a reporting obligation, the Tax Authorities are in possession of complete and relevant information about potentially aggressive cross-border tax constructions. Among other things, this makes a better risk assessment possible. The goal of the government is to prevent (a part of) the tax avoidance with this measure.<\/p>\n<\/div><\/div><\/div><div class=\"et_pb_column_2 et_pb_column et_pb_column_1_2 et-last-child et_block_column et_pb_css_mix_blend_mode_passthrough\"><div class=\"et_pb_text_2 et_pb_text et_pb_bg_layout_light et_pb_module et_block_module\"><div class=\"et_pb_text_inner\"><p><strong>Introduction of new law<\/strong><br \/>\nThe reporting obligation starts on July 1<sup>st<\/sup>, 2020. This means that from that day, intermediaries, such as tax advisors, must report certain cross-border constructions to the Tax Authorities. The new law will be applied for the first time to cross-border constructions subject to a reporting obligation of which (a) the first step of implementation was taken on or after 25 June 2018 or (b) were made available for implementation or are ready for implementation on or after 1 July 2020.<\/p>\n<p>For intermediaries who can invoke the legal withholding law, such as notaries, the same legal framework applies to the (tax) withholding law in Article 53a of the General Act on Government Taxes. This means that if the civil-law notary invokes the legal (tax) right of non-disclosure, he must inform other relevant intermediaries that they must also report the construction. The civil-law notary requires this only to be made known to intermediaries who know that they are involved in the same reporting structure.<\/p>\n<p>The new law follows a series of previously taken measures by the Tax Authorities to improve fiscal transparency. The question is whether this measure contributes to this improvement.<\/p>\n<\/div><\/div><\/div><\/div><\/div>","protected":false},"excerpt":{"rendered":"<p>On December 17th, 2019, the Senate adopted the bill for the implementation of the EU directive for reporting cross-border constructions. The new law follows a series of previously taken measures by the Tax Authorities to improve fiscal transparency.<\/p>\n","protected":false},"author":5,"featured_media":10369,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"slim_seo":{"title":"Obligation to report cross-border constructions - Everest Notariaat","description":"On December 17th, 2019, the Senate adopted the bill for the implementation of the EU directive for reporting cross-border constructions. The new law follows a s"},"footnotes":""},"categories":[],"tags":[],"class_list":["post-7993","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/posts\/7993","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/comments?post=7993"}],"version-history":[{"count":0,"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/posts\/7993\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/media\/10369"}],"wp:attachment":[{"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/media?parent=7993"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/categories?post=7993"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/tags?post=7993"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}